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YOU MUST INDICATE IN DETAIL THE MATHEMATICAL CALCULATIONS REQUIRED. Today, you buy four shares of XYZ stock costing $80 per share. One year from now,

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YOU MUST INDICATE IN DETAIL THE MATHEMATICAL CALCULATIONS REQUIRED. Today, you buy four shares of XYZ stock costing $80 per share. One year from now, you purchase three more shares for $85 per share. Two years from now, you sell five shares for $82 per share. Three years from now, you sell the remaining two shares for $87 per share. The stock pays a $3 dividend per share at the end of each year of the next threq years. You are preparing to calculate the dollar-weighted average rate of return. A. Calculate the relevant cash flows that are required in order to compute the dollar-weighted average rate of return. B. Set up the relevant equation that must be solved in order to compute the dollar-weighted average rate of return. (Note: This problem does not require that you calculate the dollar-weighted average rate of return. That is, you are not required to solve the equation you set up for Part (B).) YOU MUST INDICATE IN DETAIL THE MATHEMATICAL CALCULATIONS REQUIRED. Today, you buy four shares of XYZ stock costing $80 per share. One year from now, you purchase three more shares for $85 per share. Two years from now, you sell five shares for $82 per share. Three years from now, you sell the remaining two shares for $87 per share. The stock pays a $3 dividend per share at the end of each year of the next threq years. You are preparing to calculate the dollar-weighted average rate of return. A. Calculate the relevant cash flows that are required in order to compute the dollar-weighted average rate of return. B. Set up the relevant equation that must be solved in order to compute the dollar-weighted average rate of return. (Note: This problem does not require that you calculate the dollar-weighted average rate of return. That is, you are not required to solve the equation you set up for Part (B).)

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