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Suppose you bought 700 shares of stock at an initial price of $43 per share. The stock paid a dividend of $.40 per share during

Suppose you bought 700 shares of stock at an initial price of $43 per share. The stock paid a dividend of $.40 per share during the following year, and the share price at the end of the year was $44.

a

What is the capital gains yield?

b.

What is the dividend yield?

c.

What is the total rate of return on the investment?

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