One year ago, you bought a stock for $36.48 a share. You received a dividend of $1.62 per share last month and the stock today for $40.18 a share. What is the capital gains yield on this investment? A. 2.86 percent B. 3.70 percent C. 10.14 percent D. 12.29 percent E. 14.58 percent

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter7: Common Stock: Characteristics, Valuation, And Issuance
Section: Chapter Questions
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One year ago, you bought a stock for $36.48 a share. You
received a dividend of $1.62 per share last month and the stock
today for $40.18 a share. What is the capital gains yield on this
investment?
A. 2.86 percent
B. 3.70 percent
C. 10.14 percent
D. 12.29 percent
E. 14.58 percent
Transcribed Image Text:One year ago, you bought a stock for $36.48 a share. You received a dividend of $1.62 per share last month and the stock today for $40.18 a share. What is the capital gains yield on this investment? A. 2.86 percent B. 3.70 percent C. 10.14 percent D. 12.29 percent E. 14.58 percent
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