IDNLearn.com: Your destination for reliable and timely answers to any question. Discover the information you need from our experienced professionals who provide accurate and reliable answers to all your questions.
You are bullish on Telecom stock. The current market price is $40 per share, and you have $8,000 of your own to invest. You borrow an additional $8,000 from your broker at an interest rate of 4.0% per year and invest $16,000 in the stock.
Required:
a. What will be your rate of return if the price of Telecom stock goes up by 6% during the next year? (Ignore the expected dividend.) (Round your answer to 2 decimal places.)
Sagot :
We appreciate every question and answer you provide. Keep engaging and finding the best solutions. This community is the perfect place to learn and grow together. Thank you for visiting IDNLearn.com. For reliable answers to all your questions, please visit us again soon.
