Helen Alba and Kobin Lubis have deferring views on the future performance of U-Cite. Consequently, Alba has taken a short position while Lubis has purchased the stock on margin. The relevant details are as follows: Market price per share: $42 Number of shares purchased: 1000 Holding period: 1 year Ending share price: $50 Initial margin requirement: 45% Maintenance margin: 30% Transaction and borrowing cost: $0 Alba and Lubis will receive margin calls at a stock price of: Alba Lubis()①A. $37.66 $53.45 ②B. $46.85 $53.45 ③C. $46.85 $33.00
A. ①
B. ②
C. ③
