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Five months ago, you purchased 400 shares of stock on margin. You put $3, 200 in the account since the initial margin requirement was 50
Five months ago, you purchased 400 shares of stock on margin. You put $3, 200 in the account since the initial margin requirement was 50 percent. The maintenance margin is 30 percent. Assume that no interest will be paid on the loan. The purchase price was $16 a share. Today, you sold these shares for $18.00 each. What is your holding period return on your invested funds? What is your annualized rate of return on your invested funds from the data in the question above
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