SIE practice questionhardMargin Requirements
A customer purchases $30,000 of stock in a margin account. What is the minimum deposit required under Regulation T?
- A$15,000✓ Correct answer
- B$22,500
- C$30,000
- D$7,500
Explanation
Why A — $15,000
Reg T requires 50% of the purchase price as the initial margin deposit, or $15,000 in this case. $30,000 is full payment (cash account), $22,500 and $7,500 are not set requirements.
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