A stock has had the following year-end prices and dividends: Year Price $65.03 123456 71.90 77.70 63.97 74.51 86.75 Dividend $.74 .79 .85 .94 1.01 What are the arithmetic and geometric returns for the stock? (Do not round

A stock has had the following year-end prices and dividends: Year Price $65.03 123456 71.90 77.70 63.97 74.51 86.75 Dividend $.74 .79 .85 .94 1.01 What are the arithmetic and geometric returns for the stock? (Do not round

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Question

A stock has had the following year-end prices and dividends:
Year Price
1
$65.03
23456
71.90
77.70
63.97
74.51
86.75
Dividend
-
$.74
.79
.85
.94
1.01
What are the arithmetic and geometric returns for the stock? (Do not round
intermediate calculations and enter your answers as a percent rounded to 2
decimal places, e.g., 32.16.)
Arithmetic average return
Geometric average return
%
%

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