Question

The term on margin means

Answer 1

Buying on margin is basically borrowing money from your broker that you don't necessarily have at the time to buy additional shares. You must have a margin account, which is separate from your cash account. Usually you are able to borrow up to 50% of the new stock price.

Answer 2

c.) buying a stock by making a down payment (margin) and borrowing the balance from a bank or broker

Step-by-step explanation:

The term “on margin” means

a.) paying the balance in full for an asset with no down payment.

b.) paying a high-interest rate on a bank or broker loan for an asset.

c.) paying the down payment on an asset and borrowing the balance.

d.) paying a loan back for an asset only after profiting from a trade.