10(a)

Suppose a stock had an initial price of $86 per share, paid a dividend of $1.80 per share during the year, and had an ending share price of $94.

Compute the percentage total return. (Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16))

Total return

%

10(b)

	Returns
Year	X			Y
1		13	%		18	%
2		27			28
3		20			25
4		8			10
5		10			19

Using the returns shown above, calculate the average returns, the variances, and the standard deviations for X and Y (Do not round intermediate calculations and round your final percentage answer to 2 decimal places. (e.g., 32.16) and variances to 5 decimal places. (e.g., 32.16161))

	X	Y
Average returns	%	%
Variances
Standard deviations	%	%

10(c)

You purchased a zero coupon bond one year ago for $173.85. The market interest rate is now 9 percent. If the bond had 20 years to maturity when you originally purchased it, what was your total return for the past year? Assume semiannual compounding. (Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16))

Total return

%

10(d)

You bought a share of 3 percent preferred stock for $97.48 last year. The market price for your stock is now $99.69

What was your total return for last year? (Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16))

Total return

%

10(e)

You bought a stock three months ago for $43.28 per share. The stock paid no dividends. The current share price is $46.51

What is the APR of your investment? (Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16))

APR

%

What is the EAR of your investment? (Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16))

EAR

%