156k views
4 votes
A new client opens up a margin account at the firm. The client wishes to perform a short sale as their first transaction. They wish to sell short 1,000 shares of MNO corporation, which is currently trading at $2.25 per share. How much must this client deposit assuming no other deposits have been made at this time?

[A] The client must deposit $1,125.
[B] The client must deposit $2,250.
[C] The client must deposit $2,500.
[D] The client must deposit $4,500

User GCon
by
5.3k points

1 Answer

4 votes
B.) the client must deposit $2,250
User Max Coplan
by
5.1k points