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Ben believes that the stock of company TanksAMillion is going to go down. The stock is currently priced at $ 3 6 , and he
Ben believes that the stock of company "TanksAMillion" is going to go down. The stock is currently priced at $ and he decides to sell short shares. But his broker charges a commission for this action. The proceeds will be invested in an interestbearing account earning nominal yearly interest at rate compounded monthly. Find the future value of the profit on his investment if the price at the end of the year is $ and he is required to conclude the short sale. Plot a graph of Ben's profit as a function of the final price of the stock and find the final price at which he breaks even.
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