Question

?The common stock of Placo Enterprises had a market price of ?$9.06 on the day you...

?The common stock of Placo Enterprises had a market price of ?$9.06 on the day you purchased it just one year ago. During the past year the stock had paid a dividend of ?$1.01 and closed at a price of ?$10.40. What rate of return did you earn on your investment in? Placo's stock?

0 0
Add a comment Improve this question Transcribed image text
Answer #1

rate of return=(End price-Beginning price+Dividends)/Beginning price

=(10.4+1.01-9.06)/9.06

which is equal to

=25.94%(Approx).

Add a comment
Know the answer?
Add Answer to:
?The common stock of Placo Enterprises had a market price of ?$9.06 on the day you...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • The common stock of Plaxo Enterprises had a market price of $9.45 on the day you...

    The common stock of Plaxo Enterprises had a market price of $9.45 on the day you purchased it just 1 year ago. During the past year, the stock paid a dividend of $1.43 and closed at a price of $11.66. What rate of return did you earn on your investment in Plaxo's stock? The rate of return you earned on Plaxo's stock is what percent?

  • P7-3 (similar to) Question Help (Calculating rates of return) The common stock of Placo Enterprises had...

    P7-3 (similar to) Question Help (Calculating rates of return) The common stock of Placo Enterprises had a market price of $9.22 on the day you purchased it just one year ago. During the past year the stock had paid a dividend of $1.27 and closed at a price of $11.44. What rate of return did you earn on your investment in Placo's stock? The rate of return you earned on your investment in Placo's stock is %. (Round to two...

  • On January 1, 2016 the common stock for Collins Corporation had a market value of $28.00....

    On January 1, 2016 the common stock for Collins Corporation had a market value of $28.00. At December 31, 2016, the market value had increased to $30.00. During the year, Collins Company paid a cash dividend of $2.00. (This problem relates to the work that you did in Week 1 to calculate returns on investments) What was the annual return to an investor during 2016?

  • PLEASE SHOW EXCEL FORMULAS USED TO SOLVE Suppose a stock had an initial price of $79...

    PLEASE SHOW EXCEL FORMULAS USED TO SOLVE Suppose a stock had an initial price of $79 per share, paid a dividend of $1.45 per share during the year, and had an ending share price of $88. What was the dividend yield? The capital gains yield? nitial price Dividend paid Ending share prices Complete the following analysis. Do not hard code values in your calculations. Dividend yield Capital gains yield Suppose a stock had an initial price of $79 per share,...

  • 5-4. Wilma just sold all the shares of International Inns stock that she owned for $156...

    5-4. Wilma just sold all the shares of International Inns stock that she owned for $156 per share. She purchased the stock one year ago for $150 per share. If Wilma did not receive any dividend payments during the year, what yield did she earn on her investment? 5-6. Earlier today, Stuart sold 200 shares of stock he owned. He purchased the stock three years ago for $28 per share. Following is a table that shows the market value of...

  • 5-6. Earlier today, Stuart sold 200 shares of stock he owned. He purchased the stock three...

    5-6. Earlier today, Stuart sold 200 shares of stock he owned. He purchased the stock three years ago for $28 per share. Following is a table that shows the market value of the stock at the end of each year and the amount of the dividend that Stuart received during the year: Year Market Dividend Value (per share) share) (per $26 50.60 28 0.60 32 0.60 (a) What total return (yield) did Stuart earn during the three-year period he held...

  • 5-1. Yesterday Travis sold 1,000 shares of stock that he owned for $29 per share. Travis...

    5-1. Yesterday Travis sold 1,000 shares of stock that he owned for $29 per share. Travis purchased the stock one year ago for $28 per share. During the year, Travis received a quarterly dividend equal to $0.10 per share. What return (yield) did Travis earn during the time he owned the stock? 5-3. One year ago, Regina purchased $1,050 worth of Elite Electrician's common stock for $42 per share During the year, Regina received two dividend payments, each equal to...

  • 14 Suppose a stock had an initial price of $107 per share, paid a dividend of...

    14 Suppose a stock had an initial price of $107 per share, paid a dividend of $2.95 per share during the year, and had an ending share price of $119. Compute the percentage total return. (Do not round intermediate calculations. Round the final answer to 2 decimal places.) 6.25 points Percentage of total return Suppose you bought a 7.6 percent (annually) coupon bond one year ago for $840. The bond sells for $885 today. (Do not round intermediate calculations. Round...

  • Creg purchased stock in Cocktatoo limited at a price of 89 per share a year ago....

    Creg purchased stock in Cocktatoo limited at a price of 89 per share a year ago. During the year cocktatoo paid dividend which resulted in a dividend yield of 10% for Creg. At end of the year,cocktatoo limited was acquired by Wombat investment limited at a price of 10 per share and creg was forced to sell his share at that price. what is return on his investment? Creg purchased stock in Cocktatoo limited at a price of $89 per...

  • Zeta Enterprises’ common stock dividend is expected to grow at a long-run rate of 3% per...

    Zeta Enterprises’ common stock dividend is expected to grow at a long-run rate of 3% per year. The dividend recently paid was $1.50 per share. Investors require a 13% return from Zeta’s common stock. What is your estimate of Zeta Enterprises’ common stock price?

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
Active Questions
ADVERTISEMENT