Assumme that jnj stock is priced at 101 per share and pays


Assumme that JNJ stock is priced at $101 per share and pays a dividend of $3 per share. An investor purchases the stock on margin, paying $80 per share and borrowing the remainder from the brokerage firm at 10 percent annualized interest. If after one year, the stock is sold at a price of $117 per share, what is the return to the investors?

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Financial Management: Assumme that jnj stock is priced at 101 per share and pays
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