Maurice Tutor

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  • MCS,PHD
    Argosy University/ Phoniex University/
    Nov-2005 - Oct-2011

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    Phoniex University
    Oct-2001 - Nov-2016

Category > Management Posted 09 Oct 2017 My Price 3.00

Buying on Margin

Buying on Margin Assume that Duever stock is priced at $80 per share and pays a dividend of $2 per share. An investor purchases the stock on margin, paying $50 per share and borrowing the remainder from the brokerage firm at 12 percent annualized interest. If, after one year, the stock is sold at a price of $90 per share, what is the return to the investor?

 

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Maurice Tutor
(5)
Status NEW Posted 09 Oct 2017 12:10 PM My Price 3.00

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