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4. Suppose you buy 600 shares of Pinterest, which are selling for $50, borrowing 25% of the necessary funds from your broker. You pay an

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4. Suppose you buy 600 shares of Pinterest, which are selling for $50, borrowing 25% of the necessary funds from your broker. You pay an interest rate of 8% on margin loans. (10 points) a. If the stock price falls to $40, what will your rate of return be b. If the maintenance margin is 60%. How much can the price of the stock fall before you get a margin call

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