investement

- You have $30,000 in a margin account; 60% initial margn required. - You can buy $50,000 of stock with this account (why?). - Your borrowing rate from your broker is 6.00%. - Suppose you buy 1,000 shares of Coca-Cola (KO), for $50/ share. - Assume no dividends, and that your borrowing rate is still 6.00%, what is your return if: - In one year, KO is selling for $60 per share? -In one year, KO stock is selling for $60 per share, but you did not borrow money from your broker? - You have $30,000 in a margin account; 60% initial margn required. - You can buy $50,000 of stock with this account (why?). - Your borrowing rate from your broker is 6.00%. - Suppose you buy 1,000 shares of Coca-Cola (KO), for $50/ share. - Assume no dividends, and that your borrowing rate is still 6.00%, what is your return if: - In one year, KO is selling for $60 per share? -In one year, KO stock is selling for $60 per share, but you did not borrow money from your broker