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You purchased 100 shares of Amazon common stock on margin at $987.78 per share. Assume the initial margin is 50% and the maintenance margin is

You purchased 100 shares of Amazon common stock on margin at $987.78 per share. Assume

the initial margin is 50% and the maintenance margin is 30%. One year later, the stock price

closes at $1,777.44. If the brokers call loan rate is 2.00%, what is your return on equity? Note

that Amazon pays no dividends.

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