Question
Suppose you bought 250 shares of stock at an initial price of $48 per share. The stock paid a dividend of $.48 per share during
Suppose you bought 250 shares of stock at an initial price of $48 per share. The stock paid a dividend of $.48 per share during the following year, and the share price at the end of the year was $51. a. What is the capital gains yield? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places. Omit the "%" sign in your response.) Capital gains yield % b. What is the dividend yield? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places. Omit the "%" sign in your response.) Dividend yield % c. What is the total rate of return on the investment? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places. Omit the"%"sign in your response.) Total rate of return %
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