Homework Answers
price on Sept 30, 2013 = $65.71
Price after 5:4 split = 65.71*4/5 = $52.568
Price on Dec 31, 2013 = 57.96
Dividend = 0.48 per share
Realized return = (57.96 + 0.48 - 52.568) / 52.568 = 11.17%
Dividend yield = 0.48/52.568 = 0.91%
Capital gains yield = (57.96-52.568)/52.568 = 10.26%
Add Answer to:
Suppose you purchased Heico Corp. (HEI) stock on September 30, 2013 for $65.71. On December 31,...
Today, you sold 540 shares of stock and realized a total return of73 percent, You purchased...
Today, you sold 540 shares of stock and realized a total return of73 percent, You purchased the shares one vear ago at a price of $24 a share and have received a total of $86 in dividends What is your capital gains yield on this investment? Multiple Choice 568 percent 664 percen 639 percent 726 percenn 741 percen
Suppose you bought 500 shares of stock at an initial price of $44 per share. The...
Suppose you bought 500 shares of stock at an initial price of $44 per share. The stock paid a dividend of $.42 per share during the following year, and the share price at the end of the year was $45. a. What is the capital gains yield? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places. Omit the "%" sign in your response.) Capital gains yield % b. What is the dividend yield?...
5. Suppose that one year ago, you spent $70,210 to buy stock in Wyeth Pharmaceutical Corp....
5. Suppose that one year ago, you spent $70,210 to buy stock in Wyeth Pharmaceutical Corp. which was selling for $50.15 per share. Wyeth paid a dividend of $0.28 per quarter. Yesterday you sold the stock for $41.75 per share. a. What was your capital gain or loss in this stock purchase? $_ b. What was your rate of return on this stock purchase?
Problem 1-2 Suppose you bought 200 shares of stock at an initial price of $38 per...
Problem 1-2 Suppose you bought 200 shares of stock at an initial price of $38 per share. The stock paid a dividend of $.30 per share during the following year, and the share price at the end of the year was $41. a. What is the capital gains yield? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places. Omit the'%"sign in your response.) Capital gains yield b. What is the dividend yield? (Do...
5. Suppose you know a company's stock currently sells for $20 per share and the required...
5. Suppose you know a company's stock currently sells for $20 per share and the required return on the stock is 0.13. You also know that the required return is evenly divided between the capital gains yield (G) and the dividend yield (D1/P0) (this means that if the required retun is 9%, the capital gains yield is 4.5% and the dividend yield is 4.5%).If it's the company's policy to always maintain a constant growth rate in its dividends, what is...
2. Assume that you own a stock with a market price of $30. This stock pays...
2. Assume that you own a stock with a market price of $30. This stock pays a constant dividends of share. If the price of the stock suddenly rises to $40, you would expect the: A. Dividend yield to remain constant. B. Dividend yield to increase. C. Capital gains yield to decrease. D. Capital gains yield and the dividend yield to both decline. E. Capital gains yield to increase and the divided yield to decrease
NEED ASAP IN 10 MIN PLEASE!!! THANK YOU!! 23 A stock is selling today for $50...
NEED ASAP IN 10 MIN PLEASE!!! THANK YOU!!
23 A stock is selling today for $50 per share. At the end of the year, it pays a dividend of $2 per share and sells for $57. a. What is the total rate of return on the stock? (Enter your answer as a whole percent.) Rate of return 01:36:07 b. What are the dividend yield and percentage capital gain? (Enter your answers as a whole percent.) % Dividend yield Capital gains...
Corporate Finance Midterm Initials 3) The common stock for Ignacio Corp sells for $20/share and offers...
Corporate Finance Midterm Initials 3) The common stock for Ignacio Corp sells for $20/share and offers the following expected payoffs for next year. (20 Points) Dividend Stock Price after Dividend 16 Ignacio Corp Expected Payouts Bust Normal Economy Boom 22 24 A) Assuming a normal economy, what is the expected dividend yield and capital gains percent return for Ignacio Corp? (4 Points) B) Assuming a boom economy, what is the expected total return for an investment in Ignacio Corp? (2...
Suppose you know that a company’s stock currently sells for $53 per share and the required...
Suppose you know that a company’s stock currently sells for $53 per share and the required return on the stock is 10 percent. You also know that the total return on the stock is evenly divided between a capital gains yield and a dividend yield. It's the company’s policy to maintain a constant growth rate in its dividends. What is the current dividend per share? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)...
I Problem 8-6 Stock Valuation [LO1] Suppose you know that a company's stock currently sells for...
I
Problem 8-6 Stock Valuation [LO1] Suppose you know that a company's stock currently sells for $60 per share and the required return on the stock is 10 percent. You also know that the total return on the stock is evenly divided between a capital gains yield and a dividend yield. If it's the company's policy to always maintain a constant growth rate in its dividends, what is the current dividend per share? (Do not round intermediate calculations and round...
Today, you sold 540 shares of stock and realized a total return of73 percent, You purchased the shares one vear ago at a price of $24 a share and have received a total of $86 in dividends What is your capital gains yield on this investment? Multiple Choice 568 percent 664 percen 639 percent 726 percenn 741 percen
5. Suppose that one year ago, you spent $70,210 to buy stock in Wyeth Pharmaceutical Corp. which was selling for $50.15 per share. Wyeth paid a dividend of $0.28 per quarter. Yesterday you sold the stock for $41.75 per share. a. What was your capital gain or loss in this stock purchase? $_ b. What was your rate of return on this stock purchase?
Problem 1-2 Suppose you bought 200 shares of stock at an initial price of $38 per share. The stock paid a dividend of $.30 per share during the following year, and the share price at the end of the year was $41. a. What is the capital gains yield? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places. Omit the'%"sign in your response.) Capital gains yield b. What is the dividend yield? (Do...
NEED ASAP IN 10 MIN PLEASE!!! THANK YOU!!
23 A stock is selling today for $50 per share. At the end of the year, it pays a dividend of $2 per share and sells for $57. a. What is the total rate of return on the stock? (Enter your answer as a whole percent.) Rate of return 01:36:07 b. What are the dividend yield and percentage capital gain? (Enter your answers as a whole percent.) % Dividend yield Capital gains...
Corporate Finance Midterm Initials 3) The common stock for Ignacio Corp sells for $20/share and offers the following expected payoffs for next year. (20 Points) Dividend Stock Price after Dividend 16 Ignacio Corp Expected Payouts Bust Normal Economy Boom 22 24 A) Assuming a normal economy, what is the expected dividend yield and capital gains percent return for Ignacio Corp? (4 Points) B) Assuming a boom economy, what is the expected total return for an investment in Ignacio Corp? (2...
I
Problem 8-6 Stock Valuation [LO1] Suppose you know that a company's stock currently sells for $60 per share and the required return on the stock is 10 percent. You also know that the total return on the stock is evenly divided between a capital gains yield and a dividend yield. If it's the company's policy to always maintain a constant growth rate in its dividends, what is the current dividend per share? (Do not round intermediate calculations and round...
Most questions answered within 3 hours.
-
1. Which of the following is false about photosynthesis?
A. ATP is the molecule used to...
asked 32 minutes ago -
A simple random sample of size n=64 is obtained from a
population with a mean of...
asked 1 hour ago -
(2 dimensions, 1 object, 2 accelerations)
1) A projectile is thrown with a wind. The wind...
asked 2 hours ago -
Brian makes $34,100 per year. How much can Brian expect to
contribute to FICA taxes in...
asked 3 hours ago -
To buy a new house you must borrow $155,000. To do this you take
out a...
asked 3 hours ago -
Spacely Sprockets is evaluating the construction of a new plant
on land the company purchased for...
asked 4 hours ago -
1. Consider a linear regression model of y on K regressors and
an intercept.
(i) Describe...
asked 4 hours ago -
Enter a balanced equation for the reaction between hydrochloric
acid and sodium sulfite.
Express your answer...
asked 4 hours ago -
Give a regular expression describing the language
{x | x ∈ Σ* and x does not...
asked 4 hours ago -
Masses of 1.0 kg, 2.0 kg, and 3.0 kg are each separately subject
to a net...
asked 4 hours ago -
The mode of philosophical argumentation and thought. How do
philosophers think and write? What is important...
asked 4 hours ago -
At the beginning of the unit, you were asked whether you thought
it was appropriate or...
asked 4 hours ago