Question
you have $8000 to invest. You also borrow $6000 at 4% interest and use your money plus the borrowed funds to make a $14000 investment
you have $8000 to invest. You also borrow $6000 at 4% interest and use your money plus the borrowed funds to make a $14000 investment into ABC stock, which is selling for $14 per share. One year later, you sell alll of the shares you own for $15 per share and repay the loan with interest. what is the rate of return on this investment?
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To calculate the rate of return on this investment we need to determine the total cost o...
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Management and Cost Accounting
Authors: Colin Drury
8th edition
978-1408041802, 1408041804, 978-1408048566, 1408048566, 978-1408093887
