You purchased a stock at a price of $53.12. The stock paid a dividend of $2.15...

Question

Question

You purchased a stock at a price of $53.12. The stock paid a dividend of $2.15...

You purchased a stock at a price of $53.12. The stock paid a dividend of $2.15 per share and the stock price at the end of the year is $59.47. What is the capital gains yield?

business finance

Add a comment Improve this question Transcribed image text

Answer 1

Answer #1

The Capital Gain Yield

Capital Gain Yield = [(Price at the end of the year – Purchase price) / Purchase price] x 100

= [($59.47 - $53.12) / $53.12] x 100

= [$6.35 / $53.12] x 100

= 11.95%

“Hence, the Capital Gain Yield will be 11.95%”

Add a comment

Answer 2

Similar Homework Help Questions

You purchased a stock at a price of $45.09. The stock paid a dividend of $1.71...

You purchased a stock at a price of $45.09. The stock paid a dividend of $1.71 per share and the stock price at the end of the year is $50.89. What is the capital gains yield? 10.83% 3.79% 16.66% 12.86%
You purchased a stock at a price of $60.42. The stock paid a dividend of $1.63...

You purchased a stock at a price of $60.42. The stock paid a dividend of $1.63 per share and the stock price at the end of the year is $54.12. What are your capital gains on this investment? Ο Ο Multiple Choice Ο -$6.30 Ο -$4.67 Ο -$1.63 Ο -$5.89 Ο -$5.49
Suppose a stock had an initial price of $87 per share, paid a dividend of $2.15...

Suppose a stock had an initial price of $87 per share, paid a dividend of $2.15 per share during the year, and had an ending share price of $78. a. Compute the percentage total return. (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) b. What was the dividend yield? (Do not round intermediate calculations and enter your answer as...

Suppose a stock had an initial price of $87 per share, paid a dividend of $2.15...

Suppose a stock had an initial price of $87 per share, paid a dividend of $2.15 per share during the year, and had an ending share price of $78. a. Compute the percentage total return. (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) b. What was the dividend yield? (Do not round intermediate calculations and enter your answer as...
Suppose a stock had an initial price of $87 per share, paid a dividend of $2.15...

Suppose a stock had an initial price of $87 per share, paid a dividend of $2.15 per share during the year, and had an ending share price of $98. a. Compute the percentage total return. (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) b. What was the dividend yield? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) c. What was the...
You purchased a stock at a price of $43.63. The stock paid a dividend of $1.63...

You purchased a stock at a price of $43.63. The stock paid a dividend of $1.63 per share and the stock price at the end of the year is $49.33. What was the dividend yield? Ο Ο 411% Ο 374% Ο 13.06% Ο 16.80% Ο 4.48%

Suppose a stock had an initial price of $87 per share, paid a dividend of $2.15...

Suppose a stock had an initial price of $87 per share, paid a dividend of $2.15 per share during the year, and had an ending share price of $78. a. Compute the percentage total return. (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) b. What was the dividend yield? (Do not round intermediate calculations and enter your answer as...
You purchased a stock at a price of $46.06. The stock paid a dividend of $1.47...

You purchased a stock at a price of $46.06. The stock paid a dividend of $1.47 per share and the stock price at the end of the year was $50.56. What was the total return for the year? 12.96% 9.77% 12.38% 3.19% 11.81%
You purchased a stock at a price of $43.87. The stock paid a dividend of $1.35...

You purchased a stock at a price of $43.87. The stock paid a dividend of $1.35 per share and the stock price at the end of the year was $47.89. What was the total return for the year? Multiple Choice 9.16% 11.21% 11.73% 12.24% 3.08%

You purchased a stock at a price of $57.74. The stock paid a dividend of $2.11...

You purchased a stock at a price of $57.74. The stock paid a dividend of $2.11 per share and the stock price at the end of the year was $64.80. What was the total return for the year? a. 12.23% b. 15.02% c. 15.88% d. 3.65% e. 14.15%

You purchased a stock at a price of $53.12. The stock paid a dividend of $2.15...

Homework Answers

Add Answer to:
You purchased a stock at a price of $53.12. The stock paid a dividend of $2.15...

Post as a guest

Earn Coins

You purchased a stock at a price of $45.09. The stock paid a dividend of $1.71...

You purchased a stock at a price of $60.42. The stock paid a dividend of $1.63...

Suppose a stock had an initial price of $87 per share, paid a dividend of $2.15...

Suppose a stock had an initial price of $87 per share, paid a dividend of $2.15...

Suppose a stock had an initial price of $87 per share, paid a dividend of $2.15...

You purchased a stock at a price of $43.63. The stock paid a dividend of $1.63...

Suppose a stock had an initial price of $87 per share, paid a dividend of $2.15...

You purchased a stock at a price of $46.06. The stock paid a dividend of $1.47...

You purchased a stock at a price of $43.87. The stock paid a dividend of $1.35...

You purchased a stock at a price of $57.74. The stock paid a dividend of $2.11...

You purchased a stock at a price of $53.12. The stock paid a dividend of $2.15...

Homework Answers

Add Answer to: You purchased a stock at a price of $53.12. The stock paid a dividend of $2.15...

Post as a guest

Earn Coins

Add Answer to:
You purchased a stock at a price of $53.12. The stock paid a dividend of $2.15...