Question
5. What was the real rate of return over the past year (from one year ago to today) for a stock if the inflation rate
5.
What was the real rate of return over the past year (from one year ago to today) for a stock if the inflation rate over the past year was 5.36%, the risk-free return over the past year was 7.12%, the stock is currently priced at $48.50, the stock was priced at $46.28 one year ago, and the stock just paid a dividend of $2.42?
10.03% (plus or minus 0.02 percentage points) | ||
7.12% (plus or minus 0.02 percentage points) | ||
1.67% (plus or minus 0.02 percentage points) | ||
4.43% (plus or minus 0.02 percentage points) | ||
None of the above is within 0.02 percentage points of the answer |
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