HIGHLIGHT ANSWERS

A. $927.9 B. $1,000.00 C. $1,075.82 D. $981.40 17. An investor receives a 15% total return by purchasing a stock for $40 and selling it after one year with a 5% capital gain. How much was received in dividend income during the year? A. $4.00 B. $2.00 C. $6.00 D. $2.20 18. The Dow Jones Industrial Average is: A. an index of 30 major industrial stocks. B. the most representative of stock market indexes. C. an equally weighted index of all stocks traded on the New York Stock Exchange. D. an index of America's 500 major corporations. 19. What is the approximate variance of returns if over the past 3 years an investment returned 8.0%,-12.0%, and 15.0%? A. 131 B. 961 C. 182 D. 31 20. What is the percentage return on a stock that was purchased for $50.00, paid a $3.00 dividend after one year, and was then sold for $49.00? A. 4.00% B. 2.50% C.-2.50% D. 7.50%