An investor buys 1,000 shares of a stock on 50% margin at a price of $60 per share

Margin loan rate is 2% Stock pays annual dividend of $0.40 per share

Commission is $0.01 per share on purchase and sale

One year later, investor sells stock at $66 per share

from above information Calculate:

(A) the investors return on the margin position

(B) the leverage ratio