Question
XYZ stock price and dividend histroy are as follows: Year Beg.-of-Year-Price Divdend Paid at Year End 2010 $132 $4 2011 $147 $4 2012 $120 $4
XYZ stock price and dividend histroy are as follows:
Year | Beg.-of-Year-Price | Divdend Paid at Year End | |
2010 | $132 | $4 | |
2011 | $147 | $4 | |
2012 | $120 | $4 | |
2013 | $125 | $4 |
An investor buys 5 shares of XYZ at the beginning of 2010, buys another 3 shares at the begining of 2011, sells on at the beginning of 2012, and sells all 7 remanining shares at the begining of 2013.
A. what are the arithmetic and geometic average time-weighted rates of return for the investor?(Do not round intermediate calculations. Enter your answer as percentage rounded to two decimal places.)
Arithemetic Average Return?
Geometric Average Return?
B. To compute dollar-weighted return, prepare a chart of cash flows for the four dates corresponding to the turns of the year for January 1, 2010 to Januaray 1, 2013. (Enter your answer as an integer. Negative amounts should be indicated by a minus sign.)
Date | Cash Flow (for investor) |
1/1/2010 | ? |
1/1/2011 | ? |
1/1/2012 | ? |
1/1/2013 | ? |
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