Mr Aleem bough some stocks of urnas Itd for $500 each. At the end of year, he got $5 per share as dividend and then he sold the shares at $605 each. What will be the returns on his investment?? 19% O22% 20% 21%

Mr Aleem bough some stocks of urnas Itd for $500 each. At the end of year, he got $5 per share as dividend and then he sold the shares at $605 each. What will be the returns on his investment?? 19% O22% 20% 21%

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

Mr Aleem bough some stocks of
urnas Itd for $500 each. At the end
of year, he got $5 per share as
dividend and then he sold the shares
at $605 each. What will be the
returns on his investment??
● 19%
●22%
20%
21%

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An investor purchased 50 shares of stock in a company for $50 per share. One year later, the investor sold all the shares for $2,600. What is the investor's rate of return? A. 4.0% В. -4.0% С. 3.8% D. -3.8%
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An investor purchased 50 shares of stock in a company for $600. One year later, the investor sold allI 50 shares for $13 per share. What is the investor's rate of return? А. -8.3% В. 8.3% С. 7.7% D. -7.7%
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ou purchase 100 shares of stock for $50 a share. The stock pays a $2 per share dividend at year-end. a. What is the rate of return on your investment if the end-of-year stock price is (i) $48; (ii) $50; (iii) $54? (Leave no cells blank - be certain to enter "0" wherever required. Enter your answers as a whole percent.) Rate of Return 48 50 54 b. What is your real (inflation-adjusted) rate of return if the inflation rate is 3%? (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places. Negative amounts should be indicated by a minus sign.) Real rate of Return 48 50 54
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