Series 7 practice questionhardMargin Accounts 24
For a short sale with current market value of $10,000, the minimum equity requirement is generally:
- A$2,500
- B$5,000
- C$3,000✓ Correct answer
- D$15,000
Explanation
Why C — $3,000
FINRA maintenance for most short equity positions is 30% of the current market value. Thirty percent of $10,000 equals $3,000.
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