Find rate of return on francesca industries

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Suppose you buy a round lot of Francesca Industries stock (100 shares) on 65 percent margin when the stock is selling at $20 a share. The broker charges a 12 percent annual interest rate, and commissions are 3 percent of the stock value on the purchase and sale. A year later you receive a $0.65 per share dividend and sell the stock for $29 a share. What is your rate of return on Francesca Industries?

Reference no: EM132627466

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