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You purchase 100 shares of stock for $40 a share. The stock pays a $4 per share dividend at year-end. a. What is the rate

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You purchase 100 shares of stock for $40 a share. The stock pays a $4 per share dividend at year-end. a. What is the rate of return on your investment if the end-of-year stock price is (0) $36; () $40 (7) $42? (Leave no cells blank - be certain to enter "0" wherever required. Enter your answers as a whole percent.) Rate of Return Stock Price 36 40 42 ed % b. What is your real (inflation-adjusted) rate of return if the inflation rate is 9%? (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places. Negative amounts should be indicated by a minus sign.) Real Rate of Return Stock Price 36 40 42 PC 2 of 4 Next >

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