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In December, you sold short 100 shares of Gamestop stock at $15 per share. The initial margin requirement is 40%. You receive no interest for
In December, you sold short 100 shares of Gamestop stock at $15 per share. The initial margin requirement is 40%. You receive no interest for the cash deposited in your brokerage account.
If the stock price goes up to $242 per share overnight and you are forced to close your position, what is the rate of return you have achieved? Assume the stock paid no dividend.
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