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Suppose you purchase 1 , 0 0 0 shares of stock at $ 8 0 per share with an initial cash investment of $ 4
Suppose you purchase shares of stock at $ per share with an initial cash investment of $ The call money rate is percent and you are charged a percent premium over this rate. Ignore dividends.a Calculate your return on investment one year later if the share price is $ Suppose instead you had simply purchased $ of stock with no margin. What would your rate of return have been now?b Calculate your return on investment one year later if the share price is $ Suppose instead you had simply purchased $ of stock with no margin. What would your rate of return have been now?c Calculate your return on investment one year later if the share price is $ Suppose instead you had simply purchased $ of stock with no margin. What would your rate of return have been now?
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