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Michael short sells 120 shares of XYZ at $30 with a 40% initial margin. XYZ pays dividend of S1.35 per share before he covers the

Michael short sells 120 shares of XYZ at $30 with a 40% initial margin. XYZ pays dividend of S1.35 per share before he covers the short sale. He then bays back the stock for $28. What is his return from this transaction? 16.7% 5.4% -0.7% 11.4%

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