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What is percentage rate of return

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1. You have opened a margin account with $11,000 at your local brokerage firm. You instruct your broker to purchase 600 shares of Bison Corporation Stock, which currently sells for $46 per share. Three months later, the stock is selling for $50 per share. Assume interest rate is 10% a year.

a. You close out your position after three months. What is your percentage rate of return?

b. What is your Effective Annualized Rate of Return?

Reference no: EM133003229

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