Six months ago, you purchased 100 shares of stock in ABC at a price of $43.26 a share. The stock pays a quarterly dividend of $.10 a share. Today, you sold all of your shares for $46.71 per share. a) What is your holding period total return?  b) Discuss the importance of holding period rate of return to an investor.

Q: One year ago, you purchased 37 shares of a stock at a price of $12.94 a share. The stock pays an…

A: The total dollar return on an investment consists of 2 parts: (i) Income from dividends and (ii)…

Q: What are the dividend yield, capital gains yield, and total percentage return?

A: The dividend yield is the return on security generated through the distribution of dividends. It is…

Q: One year ago, you purchased a stock at a price of $28.75. The stock pays quarterly dividends of $.35…

A: The objective of this question is to calculate the total capital gains from the investment in a…

Q: You bought a stock at $22 last year. After one year, you received a dividend of $0.61 and then sold…

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Q: You bought 1,000 shares of Oracle stock last year for $200, you received a $5 per share divided…

A: Calculate the capital gain per share:Capital gain per share = Current price per share - Initial…

Q: ou purchased 1,500 shares of stock in Natural Chicken Wings, Inc., at a price of $43.67 per share.…

A: Given information : Total number of shares 1500 Price of stock  $          43.67 Dividends…

Q: Suppose you bought a stock for $22.7 per share and then sold it for $14.7 per share. In the mean…

A: Given: Purchase price = $22.7 Selling price = $14.7 Dividend = $1

Q: One year ago, you purchased a stock for $72.42. Today it is selling for $66.68. During the year you…

A: Percentage return refers to the return that is to be earned over the amount of investment made…

Q: An investor purchased 50 shares of stock in a company for $20 per share. One year later, the…

A: In this question we need to calculate the investor's rate of return:

Q: You purchased 1,700 shares of stock in Natural Chicken Wings, Incorporated, at a price of $43.79 per…

A: Purchase price per share = p = $43.79 Dividend per share = d = $1.23 Selling price per share = s =…

Q: You are thinking of purchasing a cumulative, convertible preferred share with a stated dividend of…

A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: You purchased a share of stock for $20. One year later you received a $1 dividend and sold the share…

A: Holding period return (HPR) is the return that is earned on the asset by holding it over a period of…

Q: You purchased 74 shares of Z stock in January 2008 for $40 per share. Each year you recelved a cash…

A: “Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: Six months ago, you purchased 1,200 shares of ABC stock for $21.20 a share. You have received…

A: In the given case, we have provided the purchasing price (initial price) per share, selling price…

Q: If an investor purchased 100 shares of Biggee stock for $30 per share, 6 months ago, and then sold…

A: Solution:- Holding period return means the rate of return earned in the time during the time of…

Q: 4. At the beginning of the year, you purchase a share of stock for $50. Over the year the dividend…

A: Dividend discount model is a model which considers the discounted value of future dividends to…

Q: What is your holding period return if: a. You sell the stock for $44. b. You sell the stock for…

A: The holding period return (HPR) evaluates an investment's performance throughout the course of its…

Q: You purchased some shares in Bandicoots R Us on 23 March 2022, at price $68.37. On 16 September 2022…

A: Data given : Purchase Price (P0) on 23 March 2022= $68.37 Received dividend on 16 September 2022…

Q: An investor purchased a stock one year ago for ​$83.00. It paid an annual cash dividend of ​$3.76…

A: The objective of the question is to calculate the total return earned by the investor and to…

Q: You purchased a stock one year ago for $91.20. Today you sold the stock and realized a total return…

A: Total return = $30.8256Explanation:Step 1:Calculations:Total return=(End value-Beginning value +…

Q: An investor purchased stock for $1000. His dividends in the first five years were: $140, $150, $170,…

A: The calculation of the rate of return as follows:

Q: You invest in Sandhill Corp. stock at a price of $63.50 per share. At the end of one year, you sell…

A: The return on investment can be computed as income earned on one share divide by market price per…

Q: The common stock of Placo Enterprises had a market price of ​$   9.11 on the day you purchased it…

A: The rate of retrun is calculated with the help of following formula  Return on Investment = Dividend…

Q: Last year you bought 100 shares of National Corporation common stock for P53 per share. During the…

A: The rate of return earned over the year is calculated as capital gain yield plus the dividend yield

Q: You purchased 300 shares of BFF stock in January 2009 for $52 per share. Each year you received a…

A: Holding period return (HPR) is the total return earned by an investor on an investment over a…

Q: share. Calculate the investor's: a. Income b. Capital gain c. Total dollar return

A: a. Calculation of Income:Dividend received during the year will be the income for the investor which…

Q: ​(Calculating rates of​ return)  The common stock of Placo Enterprises had a market price of ​$9.96…

A: Solution:- Rate of return means the percentage of extra amount earned on initial amount invested.

Q: You purchased 100 shares of stock for a share price of $16.11. You sold the stock two years later…

A: The total gain or loss on an investment for a particular period of time is known as the total rate…

Q: A stock is bought for $25.84 and sold for $26.44 a year later, immediately after it has paid a…

A: Capital Gain rate for the transaction is the sale price less the cost of acquisition and other…

Q: One year ago, you purchased 21 shares of a stock at a price of $12.18 a share. The stock pays an…

A: Total dollar return includes:The capital gain earned on the investment due to increase in price of…

Q: Last year, Julie Johnson bought one share of common stock for $900. During the year, Julie received…

A: Purchasing price of common stock is $900 Dividend received during holding is $69.50 Selling price of…

Q: Suppose you purchased a stock a year ago. Today, you receive a dividend of $12 and you sell the…

A: given,   Dividend = $ 12 Sale value = $ 111 Return = 8%   Let Purchase value be 'x' Capital gain…

Q: Suppose you bought a stock for $18.6 per share and you sold it for $41.9 after 2 years. The stock…

A: Here,Purchase value is $18.6Sell Value is $41.9Time Period is 2 yearsCompounding Frequency is…

Q: You currently own 2,000 shares of Industrial Industries stock. You purchase the stock for $128.34…

A: Holding period return on stock is calculated below Holding period return = P1-P0+D1P0 Where, P1 is…

Q: At the beginning of the year, you purchased a share of stock for $51.64. Over the year the dividends…

A: The return on the stock can be computed by dividing the sum of returns by the purchase price of the…

Q: Calculating Return Components An investor purchases one share of stock for $50. After one year,…

A: Dividend yield refers to the percentage of the annual dividend paid by a company relative to its…

Q: Last year you bought 100 shares of NC Corp. common stock for P53 per share. During the year you…

A: The rate of return is simply calculated as capital gain yield plus dividend yield

Q: A stock is selling today for $50 per share. At the end of the year, it pays a dividend of $3 per…

A: The dividend yield is the percentage ratio that tells us about how much dividend a company is paying…

Q: On January 1, you bought 100 shares of ABD stock for $19/share with funds that you borrowed at an…

A: IRR is also known as Internal rate of Return. It is a capital budgeting technique which helps in…

Q: Calculate your total return from this investment.   You bought a stock for $105. You received $7…

A: Purchase price = p = $105 Annual dividend earned = d = $7 Time = t = 2 years Selling price = s = $74…

Q: An investor purchased a stock one year ago for ​$43.00. It paid an annual cash dividend of ​$3.37…

A: The objective of this question is to calculate the total return earned by the investor and to…

Q: You invested in a stock with a price of $46.92. You sold the stock a year later for $52.86. During…

A: Information Provided: (Initial value) Price = $46.92 (Ending value) Price = $52.86 Dividend = $0.85

Q: You purchased a stock at a price of $70.72. The stock paid a dividend of $2.03 per share and the…

A: Purchase price of stock = $ 70.72 Price of stock after 1 year = $ 63.02

Q: You purchased 100 shares of stock for a share price of $16.14. You sold the stor two years later for…

A: Total return on investment = Total capital gains + Total dividend received.capital gains per share =…

Q: At the beginning of the year, you purchased a stock for $35. Over the year the dividends paid on the…

A: Purchase price of the stock (P0) = $35 Dividend paid (D) = $2.75 a. Stock price at the end of the…

Q: You purchased a stock at a price of $51.66. The stock paid a dividends of $ 2.07 per share and the…

A: The objective of the question is to calculate the capital gains yield of a stock. The capital gains…

Q: You purchased a stock for $53.4 a share and resold it one year later. Your total return for the year…

A: Given information  Purchasing price of stock = $53.4 Total return = 10.62% Dividend yield = 6.18%