Question
You are considering two investment alternatives. The first is a stock that pays quarterly dividends of $0.36 per share and is trading at $22.14 per
You are considering two investment alternatives. The first is a stock that pays quarterly dividends of $0.36 per share and is trading at $22.14 per share; you expect to sell the stock in six months for $24.28. The second is a stock that pays quarterly dividends of $0.63 per share and is trading at $32.49 per share; you expect to sell the stock in one year for $34.16. Which stock will provide the better annualized holding period return?
The 1-year HPR for the first stock is %. (Enter as a percentage and round to two decimal places.
And for the second stock too please!
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