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A stock is selling today for $40 per share. At the end of the year, it pays a dividend of $2 per share and sells
A stock is selling today for $40 per share. At the end of the year, it pays a dividend of $2 per share and sells for $44. Required: a. What is the total rate of return on the stock? b. What are the dividend yield and percentage capital gain? c. Now suppose the year-end stock price after the dividend is paid is $36. What are the dividend yield and percentage capital gain in this case? Complete this question by entering your answers in the tabs below. Required A Required B Required C What is the total rate of return on the stock? (Enter your answer as a whole percent.) Rate of return %
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