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You are considering two investment alternatives. The first is a stock that pays quarterly dividends of $0.47 per share and is trading at $27.82 per

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You are considering two investment alternatives. The first is a stock that pays quarterly dividends of $0.47 per share and is trading at $27.82 per share; you expect to sell the stock in six months for $33.38. The second is a stock that pays quarterly dividends of $0.72 per share and is trading at $34.62 per share; you expect to sell the stock in one year for $38.68. Which stock will provide the better annualized holding period retum? The 1-year HPR for the first stock is 1 % (Enter as a percentage and round to two decimal places.) The 1-year HPR for the second stock is %. (Enter as a percentage and round to two decimal places.) The stock that will provide the botter annualized holding period return is: (Choose the best answer below) Stock 1 Stock 2

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