The dollar profit/loss and holding period return is computed as follows:
Dollar profit/loss will be
= $ 51.38 - $ 47.50 + 0.72
= $ 4.60
Holding period return will be:
= ($ 51.38 - $ 47.50 + 0.72) / $ 47.50
= 9.68% Approximately
So the correct answer is option b i.e. $4.60 ; 9.68%
You bought a share of stock for. $47.50 that paid a dividend of $.72 and sold...
Joe bought ABC stock on January 10th for $208.81 per share. The stock paid a dividend of $1.25 in March and another dividend of $1.62 in June. He sold it in July for $203.29. What was Joe's holding period return? Show your answer in decimal form to four places. Note: Decimal form means without the % sign. If you divide 10 by 35, the answer is 0.285714 in decimal form and 28.5714% in percentage form. Use decimal form for the...
1a) You purchased a share of stock for $35.40 seven years ago and just sold it today for $58.37. No dividends were paid out over the seven years but you did receive an accumulated dividend of $5.80 when you sold the stock. What is your (a) Dollar gain or loss; (b) HPR; (c) Simple annual return; and (d) Compound annual return? 1b) You bought a stock for $60.54 and sold it 5 months later for $68.95 with no dividends paid....
8. You purchased a share of stock for $29. One year later you received $2.25 as dividend and sold the share for $28. Your holding-period return was a. -3.57% b. -3.45% c. 4.31% d. 8.03% 8. You purchased a share of stock for $29. One year later you received $2.25 as dividend and sold the share for $28. Your holding-period return was a. -3.57% b. -3.45% c. 4.31% d. 8.03%
Nancy Cotton bought 400 shares of NeTalk for $15 per share. One year later, Nancy sold the stock for $21per share, just after she received a $0.90 cash dividend from the company. a) What is dollar return earned by Nancy for the year? b) What is the rate return earned by Nancy? c) separate the rate of return computed in part (b) into the dividend yield and the capital gains yield. In other words, compute the dividend yield and the...
You bought a stock one year ago for $50.52 per share and sold it today for $45.96 per share. It paid a $1.77 per share dividend today. a. What was your realized return? b. How much of the return came from dividend yield and how much came from capital gain?
You bought a stock a year ago for $50 per share and sold it today for $55. It paid a $1 dividend yesterday. 1. What was your realized return? 2. How much of the return came from the dividend yield and how much came from the capital gain? 3. The same scenario as above, but the stock fell to $45 per share. What is the dividend yield now? What is the capital gain now?
1) A company recently paid out a $4 per share dividend on their stock. Dividends are projected to grow at a constant rate of 5% into the future, and the required return on investment is 8%. After one year, the holding period return to an investor who buys the stock right now will be: A. 5% B. 3% C. 8% D. 13% 2) A company recently paid out a $2 per share dividend on their stock. Dividends are projected to...
Suppose a stock had an initial price of $72 per share paid a dividend of $120 per share during the year, and had an ending share price of $79. Compute the percentage total return (Round your answer to 2 decimal places. (e.g. 32.16)) Total return Hints References eBook & Resource
Plastic Pretzels stock recently paid a dividend of $1.19 per share. The dividend growth rate is expected to be 4.80% indefinitely. Stockholders require a return of 10.40% on this stock. a. What is the current intrinsic value of Plastic Pretzels stock? (Round your answer to 2 decimal places.) Intrinsic value b. What would you expect the price of this stock to be in one year if its current price is equal to its intrinsic value? (Round your answer to 4...
Suppose you bought 500 shares of stock at an initial price of $44 per share. The stock paid a dividend of $0.42 per share during the following year, and the share price at the end of the year was $45. Compute your total dollar return on this investment. Total dollar return