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An Investor Puts Up $5,000 but Borrows an Equal Amount

Question 17

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An investor puts up $5,000 but borrows an equal amount of money from their broker to double the amount invested to $10,000.The broker charges 7% on the loan.The stock was originally purchased at $25 per share and in one year the investor sells the stock for $28.The investor's rate of return was ____.


A) 17%
B) 12%
C) 14%
D) 19%

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