An investor purchased a stock one year ago for

$42.00. It paid an annual cash dividend of $2.50

and is now worth $51.75. What total return did the investor earn? Would the investor have experienced a capital gain? Explain.

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Part 1

The investor would experience

a capital gain

a capital loss

neither

in the amount of $$enter your response here.

(Choose from the drop-down menu and round to the nearest cent.)