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Show work, please! Suppose that you sell short $1,000 shares of Xtel, currently selling at $30 per share and give your broker $20,000 to establish

Show work, please!

  1. Suppose that you sell short $1,000 shares of Xtel, currently selling at $30 per share and give your broker $20,000 to establish your margin account
    1. If you earn no interest on the funds in your margin account, what will be your rate of return after one year if xtel stock is selling at the following assuming no dividends
      1. $35
      2. $30
      3. $25

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