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Sam wants to short sell 300 shares of Wal-Mart (WMT), trading for $77 a share. There is a 50% initial margin requirement on short sales.
a. How can Sam sell shares he doesn't own? In other words, where do the shares come from?
b. What is Sam's profit if the price of Wal-Mart falls to $68? Show work or explain.
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DISCIPLINE & DISCHARGE
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Examine the benefits and costs of FDI to the home and host countries. Express the MNE's future. You are to use at least three references apart from the textbook and comprise a reference page listing your sources.
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