Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN: 9781260013924
Author: Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher: Mcgraw-hill Education,
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Your client buys 10 shares of stock at time 0 for $43 per share.
At time 1, he receives a dividend of $1 per share, and buys another 10 shares at the new price
of $48 per share.
At time 2, he receives a dividend of $1 per share, and sells his entire holding of stock for $51
per share.
What was the client's time-weighted annual return on this position?
Enter answer as a percentage, accurate to two decimal places.
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Transcribed Image Text:Your client buys 10 shares of stock at time 0 for $43 per share. At time 1, he receives a dividend of $1 per share, and buys another 10 shares at the new price of $48 per share. At time 2, he receives a dividend of $1 per share, and sells his entire holding of stock for $51 per share. What was the client's time-weighted annual return on this position? Enter answer as a percentage, accurate to two decimal places.
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