1. At the beginning of last year, you invested GH4,000 in 80 shares of the Chang

Corporation. During the year, Chang paid dividends of GH5 per share. At the end of the

year, you sold the 80 shares for GH59 a share. I want to compute the total HPY on these shares

and indicate how much was due to the price change and how much was due to the

dividend income.

2. Akwasi is considering investing in either Real Estate or Shopping mall, a market survey

revealed the following returns with their respective business cycle which have been

estimated occur evenly during the year.

Business Cycle

returns

Business Cycle Real EstateShopping mall

Boom 13% 16%

Recession 4% 8%

Normal 12% 14%

Depression -5% 1%

Which one will you advise him to choose and why?

3.. What information is considered a necessary evil in constructing an investment policy

statement?