Rework Problem 1 assuming the ending share price is $78. Problem 1 Suppose a stock had an

Question:

Rework Problem 1 assuming the ending share price is $78.

Problem 1

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. Compute the percentage total return. What was the dividend yield? The capital gains yield?

Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...

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