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Assume Tesla Motors, Inc. (NASDAQ:TSLA) is currently trading at $410.00 per share. You have $20,500 of your own money to invest and decide to

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Assume Tesla Motors, Inc. (NASDAQ:TSLA) is currently trading at $410.00 per share. You have $20,500 of your own money to invest and decide to purchase 100 shares of TSLA on Margin with a 2% Loan, an Initial Equity of 50%, and a Maintenance Margin of 25%. TSLA currently pays no dividend. Assume a one year holding period and TSLA increases in price by 20%. The Rate of Return on Investment for TSLA using Margin would be 57.50%. 38.00% 20.00% 25.00%.

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