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You purchase 100 shares for $60 a share ($6,000), and after a year the price rises...

You purchase 100 shares for $60 a share ($6,000), and after a year the price rises to $70. Calculate the percentage return on your investment if you bought the stock on margin and the margin requirement was (ignore commissions, dividends, and interest expense): 25 percent. Round your answer to one decimal place. % 65 percent. Round your answer to one decimal place. % 75 percent. Round your answer to one decimal place. %

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Solutions - As Cliven, Chase = 100 Shades No. of shares Purchase = 100 shares Pirchase price per shaze = $60. After the year,و Dom Relum . . ! Proceeds... _-1 Investment Relum = $2500_ $1500 Retum =116667-1 = 0.667 OR 66,7% Relum = 66,7% 1 (b) Calcul. 6 calculation the bercentage retum on your investment when the marginis 75% ie 0.75 - Investment a shaze X Purchase of Marg

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