oblem 16-05 purchased 150 shares in a real estate investment trust for $40 a share. The trust paid the following annual dividends: Year 1 Dividend $2.00 1.50 2 3 1.80 2.50 4 a. What was your annualized retum on the investment if you sell the stock for $40? Round your answer to the nearest whole number. % b. What was your annualized retum on the investment if you sell the stock for $55? Round your answer to the nearest whole number. % 004002 9 Interest Factors for the Present Value of One Dollar M Time Period (4.9 year) 6 Interest Factors for the Present Value of an Annuity of One Dollar 1 2 3 4 5 14 24 5 8% 95 104 14% 11 20 24 28% 22 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 1970 1942 1913 1886 1859 1833 1,808 1.783 1.759 1736 1.690 1.647 16051566 1.528 1.457 1392 1.332 1.276 2961 2.884 2829 2775 2.723 2673 2.624 2577 2.531 2487 2402 2.322 2246 2.174 2106 1981 1868 1766 1674 3.902 3808 3.217 3.630 3.546 3.469 3.387 3.312 3.240 3.170 3.037 2.914 2.798 2.690 2.589 2.404 2.241 2.095 1966 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 2.127 2.991 2.745 25322 345 2.181 6 7 8 9 10 5.795 5.601 5.417 5.242 5.076 4917 4.766 4623 4.486 4.355 4.111 3.889 3685 3.498 3.326 3.020 2.759 2534 2.399 6.728 6.472 6.230 6,002 5.786 5.582 5380 5,206 5,033 4.868 4,564 4.288 4,039 3812 3.605 3.242 2.937 2678 2.455 76527325 7020 6.733 6.463 6.210 5971 5,747 5535 5335 4 968 8.639 4,344 4078 3.837 3.421 3076 2.786 2.540 8566 8.1627.786 2.435 7108 6 802 6,515 6.247 5985 5.759 5 328 49464607 4303 4.031 3.566 3.184 2.868 2603 9.471 8 93 8 530 8111 772273607024 6710 6.418 6145 5650 5.216 4833 4.494 4.193 3.682 3.269 2.930 2.650 11 10.368 0.787 9.253 8.760 8.3067887 7.499 7.139 6.805 6.495 988 5.153 5.029 4656 4.327 3.776 3.735 2.978 2.683 12 11.255 10.575 9.954 9.385 8.863 8.384 7.943 7536 71616.814 6.194 5.660 5.197 4.793 4.439 3.851 3387 3.013 2708 13 12. 134 11.348 10 635 9.986 9.394 8.534 8 358 7904 2487 2103 6.424 5.842 5.347 4910 4.533 3.9123427 3.040 2.727 14 13.004 12 106 11.296 10.563 3.899 9.295 8.745 8.244 786 7362 6628 6.002 5.468 5008 4.611 3962 3459 3.061 2.740 15 13.865 12.849 11.938 11.118 10:3809712 9.108 8.559 8060 2606 6.811 6.142 5575 5.092 4.675 4.001 3.483 3.076 2.750 16 14 718 13.578 12.561 11.652 10.838 10.106 9447 8.851 8312 7874 6974 6.265 5.669 5.167 4.730 4.003 3.503 3.088 2.758 17 15.562 16.292 13.166 12 166 11 274 10.477 9.763 91225688.002 2120 6.373 5.749 5222 4275 4,059 3.518 3097 2.763 18 16 398 14.992 13.754 12659 11.690 10 828 10 059 9.372 8.756 8.2017.250 6.467 5.818 5.273 4812 4.080 3.529 3.104 2767 19 17.226 15,678 14 324 13. 134 12.085 11.158 10.336 9.604 8.950 8.365 7366 6.550 5.877 5.316 4.844 4,097 3.599 3.109 2.770 2018.046 16.351 14 877 13.590 12.462 11470 10.594 9818 9.128 8.514 7469 6.623 5929 5.353 4870 4.110 3546 3.113 2.772 25 22.023 19.523 17413 15.622 14.094 12.783 11654 10.675 9.8239.077 7843 6.873 6.097 5.467 4.948 4.147 3.564 3.122 2.776 30 25.80822.937 19 600 17.292 15:373 13765 12.409 11 258 10.274 9.427 8055 7.003 6.177 5.517 4.9794.160 3,569 3.124 2.778
