Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Suppose that an investor buys 100 shares of ABC Company's stock for $ 54.00 per share and sells the total 100 share for $ 6,000.00

Suppose that an investor buys 100 shares of ABC Company's stock for $ 54.00 per share and sells the total 100 share for $ 6,000.00 after one year. Additionally, ABC Company pays dividend of $ 1.20 per share during the year. What is the rate of return on this investment?

13.33%

-7.50%

41.67%

-19.44%

34.00%

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

Financial Accounting

Authors: Robert Kemp, Jeffrey Waybright

2nd edition

978-0132771801, 9780132771580, 132771802, 132771586, 978-0133052152

Students also viewed these Accounting questions

Question

=+ How closely does it matchy the theoretical distribution?

Answered: 1 week ago

Question

Briefly describe Hartleys contributions to associationism.

Answered: 1 week ago