At the beginning of last year an investor purchased 300 shares of common stock from MRP Corporation at $20 per share. During the year, the firm paid dividends of $1 per share. At the end of the year, the investor sold the 300 shares at $21 per share. What is the rate of return? a.) 20% b.) .1% c.) 10.00% d.) 1.10%
At the beginning of last year an investor purchased 300 shares of common stock from MRP Corporation at $20 per share. During the year, the firm paid dividends of $1 per share. At the end of the year, the investor sold the 300 shares at $21 per share. What is the rate of return? a.) 20% b.) .1% c.) 10.00% d.) 1.10%
Chapter7: Common Stock: Characteristics, Valuation, And Issuance
Section: Chapter Questions
Problem 4P
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At the beginning of last year an investor purchased 300 shares of common stock from MRP Corporation at $20 per share. During the year, the firm paid dividends of $1 per share. At the end of the year, the investor sold the 300 shares at $21 per share. What is the
a.) 20%
b.) .1%
c.) 10.00%
d.) 1.10%
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