You buy 28 shares of NFLX at $10.2 per share using you margin which has a margin requirement of 53% (you use the full margin). After a short period, you sell all shares and make a Capital Gain of $0.61 per share. You do not pay any interest on the loan. What is your holding period return?

To solve such a problem, you need to establish the initial balance sheet when buying the shares. Then, complete the balance sheet at the moment of selling the shares. The HPR is found using the equity value.

HPR = (ending equity - beginning equity)/beginning equity

{enter a percentage with two decimals. For example, if you get 0.0345627, you should enter 3.46}