Question
Youpurchase100 shares of stock for $60 a share. The stock pays a $3 per sharedividendat year-end. What is the rate of return on your investment
Youpurchase100 shares of stock for $60 a share. The stock pays a $3 per sharedividendat year-end. What is the rate of return on your investment for the end-of-year stock prices listed below? What is your real (inflation-adjusted) rate of return? Assume an inflation rate of 4%.(Leave no cells blank - be certain to enter "0" wherever required. Negative values should be indicated by a minus sign. Do not roundintermediate calculations. Round your "Real Rate of Return" answers to 2 decimal places.) |
Rate of Return | Real Rate of Return | |
a.$57 | .10% | % |
b.$60 | 5 % | .96% |
c.$66 | 15% | 10.57% |
Can not get the correct answer for a - Real Rate of return
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