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200 shares of shamrock

200 shares of Shamrock Enterprises that you bought at $25 a share. The stock is now selling for $45 a share.

a. If you put in a stop loss order at $40, discuss your reasoning for this action.

b. If the stock eventually declines in price to $30 a share, what would be your rate of return with and without the stop loss order?

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Management Theories: 200 shares of shamrock

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