At the beginning of last​ year, Thomas purchased 100 shares of the Web.com Fund at an NAV of $34.64 and automatically reinvested all distributions. As a result of​ reinvesting, Thomas ended the year with 132 shares of the fund with an NAV of $46.27. What was his total return for the year on this​ investment?   ​Thomas total return for the year on this investment was enter your response here​%.

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
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At the beginning of last​ year, Thomas purchased 100 shares of the Web.com Fund at an NAV of $34.64 and automatically reinvested all distributions. As a result of​ reinvesting, Thomas ended the year with 132 shares of the fund with an NAV of $46.27. What was his total return for the year on this​ investment?

 

​Thomas total return for the year on this investment was enter your response here​%.

 

​(Round to two decimal​ places.)

 

 

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A stock is about to go public and listed on the S &P 500. Using the following information calculate it’s stock price.

 

a. A comparable stock has a beta of 0.77.

 

b. The current risk free rate is 2% and the return on the S & P 500 is 15%.

 

c. The company’s Free Cash flow is going to grow at 24% per year for the next three years.

 

d. The long term growth rate after three years will be 8%.

 

e. It pays a dividend of 29% of Free Cash Flows at the moment.

 

f. The current free cash flow for the company is $ 2.40 per share.

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