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On January 1 , you sold short one round lot (that is, 100 shares) of Lowe's stock at $28.00 per share. On March 1, a
On January 1 , you sold short one round lot (that is, 100 shares) of Lowe's stock at $28.00 per share. On March 1, a dividend of $2.20 per share was paid. On April 1, you covered the short sale by buying the stock at a price of $23.50 per share. You paid 35 cents per share in commissions for each transaction. a. What's the net gain from the short sale in $ amount? b. If margin is 50% of the short sale, what's your return
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