What the is the return on your margin account

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Reference no: EM131309617

Assume you purchased 200 shares of greater than or equal to common stock on margin at $70 per share from your broker. If the initial margin is 55%, how much did you borrow from the broker? If the price goes up to $100, the stock paid a dividend of $2 per share and the interest rate on the loan is 5%, what the is the return on your margin account? What is the return it the price goes down to $60?

Reference no: EM131309617

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