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Allan purchased 438 shares of stock on margin for $29.32 a share and sold the shares 5 months later for $31.27 a share. The initial
Allan purchased 438 shares of stock on margin for $29.32 a share and sold the shares 5 months later for $31.27 a share. The initial margin requirement was 0.6 percent and the maintenance margin was 0.4 percent. The annual interest rate on the margin loan was 8 percent. He received no dividend income. What was his holding period return (in percent)? Answer to two decimals.
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