Homework Answers
Rate of return=(Selling price-Buy price+Dividend)/(Buy
price)
Dividend per share=2500/10000=0.25
=(24-Buy price+0.25)/(Buy price)=15.5%
=(24-Buy price+0.25)=0.155*(Buy price)
=(24+0.25)=0.155*(Buy price)+Buy price
24.25=Buy price*(.155+1)
Buy price=24.25/(.155+1)=$20.99567 or $21 (Rounded to the nearest
whole number)
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