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Assume you sell short 1,000 shares of common stock at $35 per share, with initial margin at 50%. What would be your rate of return
Assume you sell short 1,000 shares of common stock at $35 per share, with initial margin at 50%. What would be your rate of return if you repurchase the stock at $25 per share? The stock paid $1 per share dividends during the period, and you did not remove any money from the account before making the offsetting transaction.
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51.43%
57.14%
44%
31.43%
62.86%
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