Essentials Of Investments
11th Edition
ISBN: 9781260013924
Author: Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher: Mcgraw-hill Education,
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Four months ago, you purchased 900 shares of Turicchi Tours stock for $7.68 per share. Last month, you received a dividend payment of $.12 per share. Today, you sold the shares for $9.13 per share. What is your total dollar return on this investment?
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- You purchased 1,000 shares of a mutual fund at an offer price of $13.88 per share. Several months later you sold the shares for $14.62 per share. During the time you owned the shares, the fund paid a dividend of $0.63 per share. What was your return on investment? Round to the nearest tenth %arrow_forwardYou purchased 250 shares of General Motors stock at a price of $77.81 two years ago. You sold all stocks today for $87.84. During this period the stock paid dividends of $5.44 per share. What is your annualized holding period return (annual percentage rate)?arrow_forwardYou invested $800 in the stock market 5 years ago. Today your investment is worth $1200. What was the annual return on your investment?arrow_forward
- You purchased 1,150 shares of stock in Natural Chicken Wings, Incorporated, at a price of $43.46 per share. Since you purchased the stock, you have received dividends of $1.01 per share. Today, you sold your stock at a price of $46.71 per share. What was your total percentage return on this investment? Multiple Choice 7.48% 8.64% 9.80% 10.46% 11.15%arrow_forwardYou purchased 10 shares of common stock in Abigail's Café at the beginning of this year for $38.00 per share and held the stock for one year. The stock paid a dividend of $2/share during the year. You were able to sell the stock for $40 per share. What was your holding period return?arrow_forwardCompute the total and annual returns on the described investment. Four years after buying 50 shares of XYZ stock for $60 per share, you sell the stock for $ 4300.arrow_forward
- Suppose you bought a stock for $27.1 per share and you sold it for $33.7 after 3 years. The stock did not pay any dividends. What was your compound average monthly return from this investment? Answer in percent, rounded to two decimal places.arrow_forwardSeven months ago, you purchased 400 shares of stock on margin. The initial margin requirement on your account is 70 percent and the maintenance margin is 30 percent. The call money rate on the margin loan is 6.65 percent. The purchase price was $16 a share. Today, you sold these shares for $18.00 each. What is your annualized rate of return? O 64.64 percent O 56.87 percent O 33.35 percent O 42.77 percent O 29.39 percent O Oarrow_forwardCompute the total and annual returns on the described investment. Six years after buying 200 shares of XYZ stock for $40 per share, you sell the stock for $12,300. The total return is %. (Do not round until the final answer. Then round to one decimal place as needed.)arrow_forward
- You've just opened a margin account with $33,880 at your local brokerage firm. You instruct your broker to purchase 800 shares of Landon Golf stock, which currently sells for $77 per share. Suppose the call money rate is 6.5 percent and your broker charges you a spread of 1.25 percent over this rate. You hold the stock for four months and sell at a price of $84 per share. The company paid a dividend of $.32 per share the day before you sold your stock. a. What is your total dollar return from this investment? (Do not round intermediate calculations. Round your answer to 2 decimal places.) Dollar return b. What is your effective annual rate of return? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) Effective annual return %arrow_forwardYou purchased 1,000 shares of a mutual fund at an offer price of $13.28 per share. Several months later you sold the shares for $14.62 per share. During the time you owned the shares, the fund paid a dividend of $0.69 per share. What was your return on investment? Round to the nearest tenth. %arrow_forward
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