14. Margin and Leverage (LO3, CFA4) In Problem 13, suppose the call money rate is 5 percent and you are charged a 1.5 percent premium over this rate. Calculate your return on investment for each of the following share prices one year later. Ignore dividends.

a. $56

b. $48

c. $32 Suppose instead you had purchased $8,000 of stock with no margin. What would your rate of return have been now?