Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Suppose a stock had an initial price of $91 per share, paid a dividend of $2.05 per share during the year, and had an ending

image text in transcribed
image text in transcribed
image text in transcribed
Suppose a stock had an initial price of $91 per share, paid a dividend of $2.05 per share during the year, and had an ending share price of $101. Compute the percentage total return. (Round the final answer to 2 decimal places.) Total return 7:20 a Suppose you bought a 8.8% coupon bond one year ago for $910. The bond sells for $870 today a. Assuming a $1,000 face value, what was your total dollar return on this investment over the past year? (Omit $ sign in your response.). Total dollar return b. What was your total nominal rate of return on this investment over the past year? (Round your answer to 2 decimal places) Nominal rate of return c. If the inflation rate last year was 4%, what was your total real rate of return on this investment? (Do not round intermediate calculations. Round the final answer to 2 decimal places. Use the Fischer formula in your calculations.) Real rate of return You've observed the following returns on Regina Computer's stock over the past five years 18% -14%, 20%, 22%, and 10% a. What was the arithmetic average return on Regina's stock over this five-year period? (Round the final answer to 1 decimal place.) Average return b-1. What was the variance of Regina's returns over this period? (Do not round intermediate calculations. Round the final answer to 5 decimal Variance b-2. What was the standard deviation of Regina's returns over this period? (Do not round intermediate calculations. Round the final answer to 1 decimal place.) Standard deviation

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

The Essential Credit Repair Handbook

Authors: Deborah McNaughton

1st Edition

160163160X, 978-1601631602

More Books

Students also viewed these Finance questions