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You purchased 100 shares of Berkshire Hathaway Class B common stock on margin at $134.17 per share. Assume the initial margin is 50% and the
You purchased 100 shares of Berkshire Hathaway Class B common stock on margin at $134.17 per share. Assume the initial margin is 50% and the
maintenance margin is 30%. One year later, the stock price closes at $160.21. If the brokers call loan rate is 2.00%, what is your return on equity?
Note that Berkshire Hathaway pays no dividends.Enter your answer rounded to two decimal places.
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