Ask Question
26 August, 19:32

A customer sells short 100 shares of ABC stock at $30 as an initial transaction in a margin account. The customer must deposit:

A. $750

B. $1,500

C. $2,000

D. $3,000

+4
Answers (1)
  1. 26 August, 20:31
    0
    The best answer is C.

    Explanation:

    Regulation T initial margin to short stock is 50% of $3,000 = $1,500. However, since this is a new account, it must meet the minimum initial margin of $2,000 needed to open an account. Therefore, $2,000 must be deposited.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “A customer sells short 100 shares of ABC stock at $30 as an initial transaction in a margin account. The customer must deposit: A. $750 B. ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers