Answer:
The answer is option C
Explanation:
Long Market Value - Debit = Equity %
$100,000 $60,000 $40,000 40%
If the market value declines to $60,000, the account will now show:
Long Market Value - Debit = Equity %
$60,000 - $60,000 = $0 ( 0%
)
Minimum margin is 25% of market value, i.e 25% of $60,000 = $15,000.
Therefore the customer will receive a maintenance call for $15,000.
