A stock costs $50 and pays a $4 annual dividend. If you expect to sell the stock after fifteen years for $58, what is your anticipated return on the investment? Use Appendix B and Appendix D to answer the question. Round your answer to the nearest whole number.

Appendix B

Appendix D

Time Period (e.g., year) 12345 67899 6 942 888 838 790 746 705 666 630 596 933 871 813 760 .711 .665 .623 583 547 923 853 789 .731 .677 627 582 540 502 914 .837 .766 .703 .645 592 544 500 .460 10 .905 .820 744 676 614 558 508 463 422 MEBLE SHB9O 11 .896 12 .887 13 .879 14 .870 15 .861 1% 2% 3% 24% 28% .806 .781 4% 5% 6% 7% 8% 9% 10% 12% 14% 15% 16% 18% 20% .990 980 971 962 952 943 .935 .926 917 .909 .893 .877 870 .862 .847 .833 980 961 943 925 907 890 873 857 842 826 797 .769 .756 743 718 .694 650 .610 971 942 915 889 .864 840 816 794 772 .751 712 675 658 641 .609 .579 524 477 .961 .924 .889 855 .823 792 .763 735 708 683 .636 .592 .572 552 516 482 423 .373 951 906 863 822 784 747 713 681 650 621 .567 519 497 476 437 402 .341 .291 16 .853 17 .844 18 .836 19 .828 20 .820 25 30 .780 Interest Factors for the Present Value of One Dollar .742 728 .623 714 605 700 587 .686 .570 .673 554 .610 .478 .375 .295 .233 552 .804 135 094 722 650 585 527 475 .429 .388 .350 .287 237 215 195 162 066 788 .701 .625 .557 .497 444 .397 .356 .319 .257 208 187 168 137 112 076 052 773 .681 601 .530 469 .415 .368 .326 .290 .229 182 163 145 116 093 061 .040 758 .661 577 .505 .442 .388 .340 .299 263 205 160 141 125 099 078 049 .032 743 .642 555 .481 .417 .362 315 .275 239 183 140 123 108 084 065 040 .025 019 015 071 054 032 123 107 093 108 093 080 060 .045 026 095 .081 069 .051 038 021 .012 083 070 060 043 031 017 .009 073 061 .051 037 026 014 .007 038 030 024 .016 010 005 002 057 033 020 015 012 .007 004 .002 001 534 458 394 339 292 252 218 .513 .436 .371 317 270 231 198 .494 416 .350 296 250 212 180 .130 .475 .396 .331 276 232 .194 .164 .116 .456 .377 .312 258 .215 .178 .149 104 .116 .092 .184 .146 564 507 .456 432 513 .452 .400 .376 410 370 335 275 .354 314 279 .222 467 404 .351 .327 .305 266 233 .179 .424 .361 .308 284 263 226 .194 144 .386 322 270 247 227 191 162 116 .412 .308 231 .174 .131 .099 .075 163 146 227 178 .139 .108 .085 059 Time Period (e.g., year) 12345 5 9 10 7 6 5.795 5.601 5.417 5.242 5.076 4.917 4.766 4.623 4.486 4.355 4.111 3.889 3.685 3.498 3.326 3.020 2.759 2.534 2.399 6.728 6.472 6.230 6.002 5.786 5.582 5.389 5.206 5.033 4.868 4.564 4.288 4.039 3.812 3.605 3.242 2.937 2.678 2.455 7.652 7.325 7.020 6.733 6.463 6.210 5.971 5.747 5.535 5.335 4.968 4.639 4.344 4.078 3.837 3.421 3.076 2.786 2.540 8.566 8.162 7.786 7.435 7.108 6.802 6.515 6.247 5.985 5.759 5.328 4.946 4.607 4.303 4.031 3.566 3.184 2.868 2.603 9.471 8.983 8.530 8.111 7.722 7.360 7.024 6.710 6.418 6.145 5.650 5.216 4.833 4.494 4.193 3.682 3.269 2.930 2.650 8 12345 Interest Factors for the Present Value of an Annuity of One Dollar 1% 2% 10% 12% 14% 16% 3% 4% 5% 6% 7% 8% 9% 18% 20% 24% 28% 32% 36% 0.990 0.980 0.971 0.962 0.952 0.943 0.935 0.926 0.917 0.909 0.893 0.877 0.862 0.847 0.833 0.806 0.781 0.758 0.735 1.970 1.942 1.913 1.886 1.859 1.833 1.808 1.783 1.759 1.736 1.690 1.647 1.605 1.566 1.528 1.457 1.392 1.332 1.276 2.941 2.884 2.829 2.775 2.723 2.673 2.624 2.577 2.531 2.487 2.402 2.322 2.246 2.174 2.106 1.981 1.868 1.766 1.674 3.902 3.808 3.717 3.630 3.546 3.465 3.387 3.312 3.240 3.170 3.037 2.914 2.798 2.690 2.589 2.404 2.241 2.096 1.966 4.853 4.713 4.580 4.452 4.329 4.212 4.100 3.993 3.890 3.791 3.605 3.433 3.274 3.127 2.991 2.745 2.532 2.345 2.181 11 10.368 9.787 9.253 8.760 8.306 7.887 7.499 7.139 6.805 6.495 5.988 5.453 5.029 4.656 4.327 3.776 3.335 2.978 2.683 11.255 10.575 9.954 9.385 8.863 8.384 7.943 7.536 7.161 6.814 6.194 5.660 5.197 4.793 4.439 3.851 3.387 3.013 2.708 12.134 11.348 10.635 9.986 9.394 8.534 8.358 7.904 7.487 7.103 6.424 5.842 5.342 4.910 4.533 3.912 3.427 3.040 2.727 13.004 12.106 11.296 10.563 9.899 9.295 8.745 8.244 7.786 7.367 6.628 6.002 5.468 5.008 4.611 3.962 3.459 3.061 2.740 13.865 12.849 11.938 11.118 10.380 9.712 9.108 8.559 8.060 7.606 6.811 6.142 5.575 5.092 4.675 4.001 3.483 3.076 2.750 15 16 14.718 13.578 12.561 11.652 10.838 10.106 9.447 8.851 8.312 7.824 6.974 6.265 5.669 5.162 4.730 4.003 3.503 3.088 2.758 17 15.562 14.292 13.166 12.166 11.274 10.477 9.763 9.122 8.544 8.002 7.120 6.373 5.749 5.222 4.775 4.059 3.518 3.097 2.763 18 16.398 14.992 13.754 12.659 11.690 10.828 10.059 9.372 8.756 8.201 7.250 6.467 5.818 5.273 4.812 4.080 3.529 3.104 2.767 19 17.226 15.678 14.324 13.134 12.085 11.158 10.336 9.604 8.950 8.365 7.366 6.550 5.877 5.316 4.844 4.097 3.539 3.109 2.770 18.046 16.351 14.877 13.590 12.462 11.470 10.594 9.818 9.128 8.514 7.469 6.623 5.929 5.353 4.870 4.110 3.546 3.113 2.772 20 9.823 9.077 7.843 6.873 6.097 5.467 4.948 4.147 3.564 3.122 2.776 25 22.023 19.523 17.413 15.622 14.094 12.783 11.654 10.675 30 25.808 22.937 19.600 17.292 15.373 13.765 12.409 11.258 10.274 9.427 8.055 7.003 6.177 5.517 4.979 4.160 3.569 3.124 2.778