Question

Using the data in the table to the right, calculate the return for investing in the stock from January 1 to December 31. Prices are after the dividend has been paid. Dividend Date Price $32.13 Jan 1 $0.21 Feb 5 $31.85 Мay 14 Aug 13 $29.76 $32.84 $39.22 $40.05 $0.18 $0.17 $0.17 Nov 12 Dec 31 %. (Round to two decimal places.) Return for the entire period is

Answer 1

Date: L ayo Calculation of the Return far the entire Period Grinen Halding period Jan I to December 31 Jan 1) Purchase Price of Share : $32.13 (Dec 31) Sale Price of Share & $40.05 do Crown from Appreciation in Share Price Grain & Sale price – Purchase of Share - Price of Share - $ 40.05 - $ 32.13 = $ 7.92 Crain from Appreciation in Share Price is $7.92 Now Dividend Received = $.73 during Holding Period (.21 +.18 (Jan To Dec 3i) t. 17 to 17)

Date: Page not Return far. Entire Period Dividend Recessed During entire Periad & Grain from Apprecistian in Share Price of Share x 100 Purchase price $.73 + $7.92 $32.13 x 100 26.92 % Return for Entire Periad is 26.92% 26.92%