baseballlife7247 baseballlife7247
  • 01-01-2018
  • Business
contestada

An investor sells short 100 shares of abc stock at $87 and sells 1 abc jan 85 put @ $2 on the same day in a margin account. the customer must deposit:

Respuesta :

Kalahira
Kalahira Kalahira
  • 12-01-2018
Answer: $4,150
   To sell short stock, initial margin is 50%. 50% of $8,700 = $4,350. No margin is required on the short puts since they are covered by the short stock position. The $200 of premiums received from writing the puts is applied against the margin requirement of $4,350 for a deposit of $4,150.
Answer Link

Otras preguntas

The following data shows the temperature of a city, in degrees Celsius, on consecutive days of a month: 8.5, 8.3, 8.2, 8.9, 8.4, 8.2, 8.7, 8.5, 8.3, 8.5, 8.4 Wh
2(3y − 1)(y − 3) is the factored form of
What is the common difference, d, of the sequence? −15, −4, 7, 18, 29, ...
What was the impact of the thirty years war on germany and france answers?
What is the geographical significance of the Russian plain
How did the Church respond to John Wycliffe’s call for reforms, such as translating the Bible into English?
What can you conclude about Ian's role at school? A. He is a bully B. He is a model student C. He is a friend to everyone D. He is a teacher's pet I need
In frida kahlo's the two fridas, to what purpose does the artist use symmetry?
It takes 5 minutes to bake 15 cookies. How many could you bake in 3 minutes
a simple sugar (C6H12O6) occurring in plant and animal tissues