To cover the initial margin requirement of 60%, you deposited funds after short-selling 270 shares of common stock at $62 per share.
a. What is your rate of return if you cover at $67, assuming no dividends and no addition or removal of funds from the account? (Negative value should be indicated by a minus sign. Round your answer to 1 decimal place.)
Rate of return %
b. At what price would you receive a margin call if the minimum margin requirement is 30%? (Round your answer to 2 decimal places. Omit $ sign in your response.)
Price $