investment? Ed Delahanty purchased 500 shares of Niagara Corporation stock on margin at the beginning of the year for $30 per share. The initial margin requirement was 55%. Ed paid 13% interest on the margin loan and never faced a margin call. Niagara paid dividends of $1 per share during the year. a. At the end of the year, if Ed sold the Niagara stock for $40 per share, what would Ed's rate of return be for the year? b. At the end of the year, if Ed sold the Niagara stock for $20 per share, what would Ed's rate of return be for the year? c. Recalculate your answers to parts (a) and (b) assuming that Ed made the Nia- gara stock purchase for cash instead of on margin. Beauty Bancroft short sells 500 shares of Rockdale Manufacturing at $25 per share. The initial margin requirement is 50%. Prepare Beauty's balance sheet as of the time of the transaction. . Through a margin account, Candy Cummings short-sells 200 shares of Madison Inc. stock for $50 per share. The initial margin requirement is 45%. a. I Madison stock subsequently rises to $58 per share, what is the equity in Candy's account? b. If Madison stock subsequently falls to $42 per share, what is the equity in Candy's account