7) Suppose you buy a round lot of Maginn Industries stock on 55% margin when the stock is selling at $20 a share. The broker charges a 10% annual interest rate, and commissions are 3% of the total stock value on both the purchase and sale. A year later you receive a $0.50 per share dividend and sell the stock for $27. What is your rate of return on the investment?

7) Suppose you buy a round lot of Maginn Industries stock on 55% margin when the stock is selling at $20 a share. The broker charges a 10% annual interest rate, and commissions are 3% of the total stock value on both the purchase and sale, A year later you receive a $0.50 per share dividend and sell the stock for \$27. What is your rate of return on the investment