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Currently the price of Mattco stock is $30 a share. You have $30,000 of your own funds to invest. Using the maximum margin of 50%,
Currently the price of Mattco stock is $30 a share. You have $30,000 of your own funds to invest. Using the maximum margin of 50%, what is your percentage profit if you purchase the stock and it falls to $20 a share (ignore dividends and taxes)? What would the percentage profit or loss be if margin were not used? a.-33.3%; -16.7% if no margin used Ob.-33.3%; -66.7% if no margin used c.-16.7%; -33.3% if no margin used Od. -66.7%; -33.3% if no margin used
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