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Suppose you buy 100 shares of stock XYZ at $10 a share with a margin of %50. You also buy 200 shares of stock ABC
Suppose you buy 100 shares of stock XYZ at $10 a share with a margin of %50. You also buy 200 shares of stock ABC at $50 a share without a margin (or with a 100% margin). Six months later, the price of the first stock is $15, and the price of the second stock is $40. If the broker charges you a 6% margin loan interest, calculate your return for your portfolio?
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