a. What is the rate of return to the shareholder if the company paid no dividends. The shareholder return is %. (Round to three decimal places.)
a. What is the rate of return to the shareholder if the company paid no dividends. The shareholder return is %. (Round to three decimal places.)
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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Transcribed Image Text:Emaline Returns. If the share price of Emaline, a New Orleans-based shipping firm, rises from $12.00 to $15.00 over a one-year period, calculate the rate of
return to the shareholder given each of the following:
a. The company paid no dividends.
b. The company paid a dividend of $1.00 per share.
c. The company paid the dividend and the total return to the shareholder is separated into the dividend yield and the capital gain.
.....
a. What is the rate of return to the shareholder if the company paid no dividends.
The shareholder return is %. (Round to three decimal places.)
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