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An investor purchased 10,000 shares of ABC corporation for $100 per share. They borrowed from their broker up to the maximum, 50% initial margin. they
An investor purchased 10,000 shares of ABC corporation for $100 per share. They borrowed from their broker up to the maximum, 50% initial margin. they paid interest on the margin loan af 10 annually, compounded using simple interest. After 6 months, they sold the stock for $95. What is the rate of return on their invested capital?
a. +5.00%
b.-7.50%
O C. +10.00%
O d.-5.00%
e. +7.50%
O f. +15.00%
O g.-15.00%
h.-10.00%
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