An investor bought a stock for $19 (at t=0) and one year later it paid a $2 dividend (at t=1). Just after the dividend was paid, the stock price was $7 (at t=1). Inflation over the past year (from t=0 to t=1) was -6% pa (note the negative sign), given as an effective annual rate. Which of the following statements is NOT correct? The stock investment produced a:

Select one:

a.

Nominal capital return of -63.157895% pa.

b.

Nominal total return of -52.631579% pa.

c.

Real capital return of -60.806271% pa.

d.

Real income return of 4.125656% pa.

e.

Real total return of -49.608063% pa.