Your grandfather invested $1,000 in a stock 36 years ago. Currently, the value of his account...
Your grandfather invested $1,000 in a stock 36 years ago. Currently, the value of his account is $318,000. What is his geometric return over this period? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.)
Homework Answers
| Investment | 1,000 |
| Current value | 318,000 |
| Time | 36 |
| 318000= | 1000*(1+r)^36 |
| 318000/1000= | (1+r)^36 |
| 318 | (1+r)^36 |
| 318^(1/36)= | 1+r |
| 1.173577743 | 1+r |
| r= | 0.173577743 |
| r= | 17.36% |
Add Answer to:
Your grandfather invested $1,000 in a stock 36 years ago. Currently, the value of his account...
Your grandfather invested $1,000 in a stock 37 years ago. Currently the value of his account...
Your grandfather invested $1,000 in a stock 37 years ago. Currently the value of his account is $320,000. What is his geometric return over this period?
Your grandfather invested $1,000 in a stock 50 years ago. Currently the value of his account is $324,000. What is his geometric return over this period?
Your grandfather invested $1,000 in a stock 50 years ago. Currently the value of his account is $324,000. What is his geometric return over this period?
1.Suppose you bought 900 shares of stock at an initial price of $44 per share. The...
1.Suppose you bought 900 shares of stock at an initial price of $44 per share. The stock paid a dividend of $0.42 per share during the following year, and the share price at the end of the year was $39. a. Compute your total dollar return on this investment. (A negative value should be indicated by a minus sign.) b. What is the capital gains yield? (A negative value should be indicated by a minus sign. Do not round intermediate...
Suppose that an investor opens an account by investing $1,000. At the beginning of each of...
Suppose that an investor opens an account by investing $1,000. At the beginning of each of the next four years, he deposits an additional $1,000 each year, and he then liquidates the account at the end of the total five-year period. Suppose that the yearly returns in this account, beginning in year 1, are as follows: -9 percent, 17 percent, 9 percent, 14 percent, and -4 percent. a. Calculate the arithmetic and geometric average returns for this investment. (Do not...
You own a portfolio that has $2,300 invested in Stock A and $3,300 invested in Stock...
You own a portfolio that has $2,300 invested in Stock A and $3,300 invested in Stock B. If the expected returns on these stocks are 8 percent and 11 percent, respectively, what is the expected return on the portfolio? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Portfolio expected return You own a portfolio that is 35 percent invested in Stock X, 20 percent in Stock Y, and 45...
A $1,000 par value bond was issued five years ago at a 6 percent coupon rate....
A $1,000 par value bond was issued five years ago at a 6 percent coupon rate. It currently has 20 years remaining to maturity. Interest rates on similar debt obligations are now 8 percent. Use Appendix B and Appendix D for an approximate answer but calculate your final answer using the formula and financial calculator methods. a. Compute the current price of the bond using an assumption of semiannual payments. (Do not round intermediate calculations and round your answer to...
You’ve observed the following returns on Yasmin Corporation’s stock over the past five years: 12 percent,...
You’ve observed the following returns on Yasmin Corporation’s stock over the past five years: 12 percent, –9 percent, 20 percent, 17 percent, and 10 percent. a. What was the arithmetic average return on the company's stock over this five-year period? (Do not round intermediate calculations. Enter your answer as a percent rounded to 1 decimal place, e.g., 32.1.) Average return % b-1 What was the variance of the company's stock returns over this period? (Do not round intermediate calculations...
You've observed the following returns on Yamauchi Corporation's stock over the past five years: -28.2 percent,...
You've observed the following returns on Yamauchi Corporation's stock over the past five years: -28.2 percent, 15.8 percent, 34.6 percent, 3.4 percent, and 22.4 percent. a. What was the arithmetic average return on the stock over this five- year period? (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 variance of the returns over this period? (Do not round intermediate calculations and round your answer to...
You’ve observed the following returns on Yamauchi Corporation’s stock over the past five years: –29.7 percent,...
You’ve observed the following returns on Yamauchi Corporation’s stock over the past five years: –29.7 percent, 16.8 percent, 36.6 percent, 3.9 percent, and 22.9 percent. a. What was the arithmetic average return on the stock over this five-year period? (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 variance of the returns over this period? (Do not round intermediate calculations and round your answer to 6...
You’ve observed the following returns on Yamauchi Corporation’s stock over the past five years: –29.1 percent,...
You’ve observed the following returns on Yamauchi Corporation’s stock over the past five years: –29.1 percent, 16.4 percent, 35.8 percent, 3.7 percent, and 22.7 percent. a. What was the arithmetic average return on the stock over this five-year period? (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 variance of the returns over this period? (Do not round intermediate calculations and round your answer to 6...
Suppose that an investor opens an account by investing $1,000. At the beginning of each of the next four years, he deposits an additional $1,000 each year, and he then liquidates the account at the end of the total five-year period. Suppose that the yearly returns in this account, beginning in year 1, are as follows: -9 percent, 17 percent, 9 percent, 14 percent, and -4 percent. a. Calculate the arithmetic and geometric average returns for this investment. (Do not...
You own a portfolio that has $2,300 invested in Stock A and $3,300 invested in Stock B. If the expected returns on these stocks are 8 percent and 11 percent, respectively, what is the expected return on the portfolio? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Portfolio expected return You own a portfolio that is 35 percent invested in Stock X, 20 percent in Stock Y, and 45...
You've observed the following returns on Yamauchi Corporation's stock over the past five years: -28.2 percent, 15.8 percent, 34.6 percent, 3.4 percent, and 22.4 percent. a. What was the arithmetic average return on the stock over this five- year period? (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 variance of the returns over this period? (Do not round intermediate calculations and round your answer to...
Most questions answered within 3 hours.
-
(63
#14)
which of the following statments best describes how chamging
the concentration of the substances...
asked 1 hour ago -
In the following reaction, which element is undergoing
oxidation: Na2SO3 + N2O --> N2 + Na2SO4...
asked 2 hours ago -
Which of the following pairs of ions have the same electron
configuration?
I: Br− and Se2−...
asked 4 hours ago -
The Foremost Composite Materials Company is planning a two-day
sales conference for October 19-20. The conference...
asked 5 hours ago -
3) Illustrate the observed pattern of relatedness of organisms
versus adaptations to specific conditions. This means...
asked 5 hours ago -
In winter a lake has a 0.35 m thick ice layer over 1.10 m of
water....
asked 6 hours ago -
Assuming the following has been encrypted with a Vigenere cipher
below, use the method(s) and assumptions...
asked 6 hours ago -
How would I use switch statements to write a program that will
take an input of...
asked 6 hours ago -
Imagine a reaction in which methane gas combusts at a constant
pressure of 1 atm and...
asked 6 hours ago -
Two parallel wires (each 12 m in length) are separated by a
distance of 0.065 m...
asked 6 hours ago -
Suppose there were three masses at the corner of uniform
equilateral triangle. The masses are m1...
asked 6 hours ago -
Situation: A building that is 618 m above the ground floor. How
many times would a...
asked 6 hours ago