单选题 Modlin has a margin account and deposits $ 20000. Assuming the margin requirement is 25%, commissions are ignored, and The Z Corporation is selling at $ 30 per share. How many shares can Modlin purchase using the maximum allowable margin?

A、

A. 2667 shares.
B、

B. 667 shares.
C、

C. 1000 shares.

【正确答案】 A

【答案解析】The margin is 25%. Modlin has $ 20000 on deposit. $ 20000 represents 25%. The total investment is thus: $ 20000/0.25=$ 80000. The shares are priced at $ 30. Modlin can therefore purchase $ 80000/$ 30=2667 shares.