You put up $60 at the beginning of the year for an investment. The value of the investment grows TO $62.4 and you earn a dividend of $3.50. Your HPR was ____, capital gains yield was ____ and dividend yield was _____.
A. 1.83%, 1%, 0.83%
B. 5.83%, 4%, 1.83%
C. 4%, 3%, 1%
D. 9.83%, 4%, 5.83%
Ans D. 9.83%, 4%, 5.83%
HPR | Total Return on Shares = | Dividend Income + (P1 - P0) |
3.50 + (62.4 - 60) | ||
5.90 | ||
Return on Shares in % = | Return on Share / P0 * 100 | |
5.90 / 60 * 100 | ||
9.83% | ||
CAPITAL GAIN YIELD = | (P1 - P0)/ P0 * 100 | |
(62.4 - 60) / 60 * 100 | ||
4.00% | ||
DIVIDEND YIELD = | Dividend Income/ P0 * 100 | |
3.50 / 60 * 100 | ||
5.83% | ||
You put up $60 at the beginning of the year for an investment. The value of...
You put up $20 at the beginning of the year for an investment. The value of the investment grows 3% and you earn a dividend of $2.50. What is your holding period return?
You put up $116 at the beginning of the year for an investment. The value of the investment at the end of the year is $128 and you earn a dividend of $6.50. Your holding period return and dividend yield from this investment are ____ and _____, respectively. A) 12.5% and 6.9% B) 12.5% and 5.6% C) 15.9% and 6.9% D) 15.9% and 5.6% Thank you
5. Your inheritance will pay you $100,000 a year for five years beginning now. You can invest it in a CD that will pay 7.75 percent annually. What is the present value of your inheritance? (Round to the nearest dollar.) A) $399,356 B) $401,916 C) $433,064 D) $467,812 6. Your father is 60 years old and wants to set up a cash flow stream that would be forever He would like to receive $20,000 every year, beginning at the end...
Your investment over one year yielded a capital gains yield of 7% and no dividend yield. If the sale price was $113 per share, what was the cost of the investment? O A $105.61 B. $110.89 O C. $100.33 O D. $116.17
problem c Taussid Technologies Corporation (TTC) has been growing at a rate of 19% per year in recent years. This same growth rate is expected to last for another 2 years, then decline toon - 4% a. If Do - $1.80 and is = 13%, what is TIC's stock worth today? Do not round intermediate calculations. Round your answer to the nearest cent. $ 26.96 What is its expected dividend yield at this time, that is, during Year 1? Do...
Taussig Technologies Corporation (TTC) has been growing at a rate of 15% per year in recent years. This same growth rate is expected to last for another 2 years, then decline to On = 5%. a. If Do = $1.00 and is = 13%, what is TTC's stock worth today? Do not round intermediate calculations. Round your answer to the nearest cent. What is its expected dividend yield at this time, that is, during Year 17 Do not round intermediate...
Question 5 5 pts Assume a stock pays a dividend of $5, which will never change. If the discount rate is 10%, what should be the price of the stock today? Enter your answer in dollars, rounded to the nearest cent (2 decimals). D Question 10 5 pts Assume a corporation has just paid a dividend of $ 3.84 per share. The dividend is expected to grow at a rate of 4.1 % per year forever, and the discount rate...
Q29. You are offered an investment that requires you to put up $5.000 today exchange for $12,000 15 years from now. What is the annual rate of return on this investment? A. 3.81% B. 2.40% C. 4.67% D. 6.01% E. 15.00% Q30. At the end of each month for the next ten years you will receive cash flows of $50. If the appropriate discount rate is 7.2%, compounded monthly (i.e., the APR is 7.2%), how much would you pay for...
Derive the probability distribution of the 1-year HPR on a 30-year U.S. Treasury bond with a coupon of 3.5% if it is currently selling at par and the probability distribution of its yield to maturity a year from now is as shown in the table below. (Assume the entire 3.5% coupon is paid at the end of the year rather than every 6 months. Assume a par value of $100.) (Leave no cells blank - be certain to enter "0"...
Last year Carson Industries issued a 10-year, 13% semiannual coupon bond at its par value of $1,000. Currently, the band can be called in 6 years at a price of $1,065 and it sells for $1,270. a. What are the bond's nominal yield to maturity and its nominal yield to call? Do not round intermediate calculations. Round your answers to two decimal places. YTM: YTC: Would an investor be more likely to earn the YTM or the YTC? b. What...