Question

1. what happened to people who could not meet a margin call?

○ they were not allowed to buy any more stock.
○ their stocks were sold and they did not get any of the money.
○ the bank would seize the money they had in their account.
○ their stocks would lose all their value.

Explanation:

A margin call occurs when an investor's margin account falls below the required maintenance margin. If the investor cannot deposit additional funds or securities to meet the call, the broker (or bank acting as broker) will sell the investor's stocks to cover the deficit, and the investor does not receive the proceeds from these sales as they go to cover the margin debt.

Answer:

Their stocks were sold and they did not get any of the money.