What happens if stock purchased on margin plummets below what I have in the brokerage?
If the price had dropped to $4 from $50, and you had $5000 to start with on your account, you will be left with $400 in your account if you closed the position now. So you would not be in debt if this was the only possition you had open.
Below is an instruction that describes a task. Write a response that appropriately completes the request.

### Instruction:
What happens if stock purchased on margin plummets below what I have in the brokerage?

### Response:
If the price had dropped to $4 from $50, and you had $5000 to start with on your account, you will be left with $400 in your account if you closed the position now. So you would not be in debt if this was the only possition you had open.