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Please answers the questions attached showing the work in excel if possible. 1. Susie purchased a stock one year ago at a price of $24
Please answers the questions attached showing the work in excel if possible.
1. Susie purchased a stock one year ago at a price of $24 a share. In the past year, she has received four quarterly dividends of $0.50 each. Today she sold the stock for $27 a share. What is her after-tax $ return if she is in the capital gains and ordinary income tax brackets of 25% and 30% respectively and if she her transaction costs were $0.25 per transaction? 2. The Arithmetic Mean Return is a number that is generally _________ the number for the Geometric Mean Return 3. For the above investment produced annual rates of return of 4%, 8%, 14% and 6%, respectively, over the past four years, what is the sum of the deviations of these returns? 4. An investment produced annual rates of return of 4%, 8%, 14% and 6%, respectively, over the past four years. What is the variance of these returns? 5.At the beginning of last year an investor purchased 300 shares of common stock from MRP Corporation at $100 per share. During the year, the firm made a 2 for 1 split. At the end of the year, the investor sold the shares at $50.50 per share. What is the rate of return? 6. The least transaction costs are likely to occur when we follow the ___________ strategy for the long term 7. Robin purchased a stock at a price of $18 a share. She received quarterly dividends of $0.50 per share. After one year, Robin sold the stock at a price of $19.50 a share. What is her percentage total return on this investment? 8.At the beginning of last year an investor purchased 200 shares of common stock from XYZ Corporation at $10 per share. During the year, the firm paid dividends of $1 per share. At the end of the year, the investor sold the 200 shares at $12 per share. What is the holding period return (HPR as per R&B text terminology)? 9. Given the following returns over the past four years, compute the geometric mean rate of return (GM). Holding Period Holding Period Return (HPR) t=1 1.05 t=2 0.90 t=3 t=4 1.11 0.98 10. Susie purchased a stock one year ago at a price of $24 a share. In the past year, she has received four quarterly dividends of $0.50 each. Today she sold the stock for $27 a share. What is her after-tax $ return if she is in the capital gains and ordinary income tax brackets of 25% and 30% respectivelyStep by Step Solution
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