You Purchased 100 Shares of Highlight Company for $20 a Share

Multiple Choice

You purchased 100 shares of Highlight Company for $20 a share one year ago with a margin of 50%.The stock is currently selling for $28 a share and no dividends were ever paid.The broker charges an annual interest rate of 8% and a $100 commission on both the purchase and sale of these shares.What is your annual rate of return on this investment?

A) 21%
B) 47%
C) 52%
D) 60%
E) 72%