2003 $55 $1 2004 $63 1. 1. A fund had the following annual prices and dividends (beginning of the year): 2002 $50 2005* 2006 2007 $20 $24 $23 $1 $.40 $.40 $.40 * Price reflects a three for one split. a. Compute each year return. b. Compute the four years holding period return. c. Compute the annualized rate of return

Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
ChapterM: Time Value Of Money Module
Section: Chapter Questions
Problem 10RE: If 90,000 is invested in a fund on December 31, 2019, and 5 equal annual withdrawals of 23,138.32...
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2003
$55
$1
2004
$63
1. 1. A fund had the following annual prices and dividends (beginning of the year):
2002
$50
2005*
2006
2007
$20
$24
$23
$1
$.40
$.40
$.40
* Price reflects a three for one split.
a. Compute each year return.
b. Compute the four years holding period return.
c. Compute the annualized rate of return
Transcribed Image Text:2003 $55 $1 2004 $63 1. 1. A fund had the following annual prices and dividends (beginning of the year): 2002 $50 2005* 2006 2007 $20 $24 $23 $1 $.40 $.40 $.40 * Price reflects a three for one split. a. Compute each year return. b. Compute the four years holding period return. c. Compute the annualized rate of return
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