Financial accounting Suppose that you purchased 300 shares of a stock at $36 pershare, ignoring all commissions. Assume the stock paid a dividendof $2.15 per share for the year. The stock price rose to $41.05 pershare and was then sold at that price.What was the capital gains yield?A. 10 percentB. 6 percentC. 14 percentD. 12.3 percent

For this question we are asked to compute for the capital gains yield. The capital gains yield, or…

Answered: Suppose that you purchased 300 shares…

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter7: Common Stock: Characteristics, Valuation, And Issuance

Section: Chapter Questions

Problem 17P

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Suppose you bought 150 shares of stock at an initial price of $47 per share. The stock paid a dividend of $.46 per share during the following year, and the share price at the end of the year was $50. a.Capital Gains Yield b.Divadend Yield c.Total rate of return
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You buy a share for $15.21 and sell it exactly one year later for $17.38. Your total return on the investment was 24.46%. What was the value of dividends paid on the share during the year? Question 5 Answer a. $1.55 b. $2.00 c. $ 1.76 d. $2.19
Suppose you bought a stock for $22.7 per share and then sold it for $14.7 per share. In the mean time, you received dividends of $1 per share. What was your total return from this investment? Answer in percent rounded to one decimal place.
You bought a stock at the beginning of the year for $986 per share. At the end of the year, the price is $905. At the end of the year, you received a $7.50 dividend per share. What are the dividend yield, capital gains yield, and total percentage return?
Suppose a stock had an initial price of $47 per share, paid a dividend of $0.63 per share during the year, and had an ending share price of $38. What was the capital gains yield? O-19.15 percent -23.68 percent 20.31 percent 17.39 percent -18.53 percent
A stock is bought for $21.00 and sold for $26.00 one year later, immediately after it has paid a dividend of $1.50. What is the capital gain rate for thistransaction? A. 4.76% B. 19.05% C. 11.91% D. 23.81%
Calculating Return Components An investor purchases one share of stock for $50. After one year, they sell the share for $55. During the year, they receive $7 in dividends. a) What was the dividend yield, in percentage terms? b) What was the capital gain from price appreciation on the stock, in percentage terms? c) What was the total return in dollars? What was the total return, in percentage terms?
Suppose a stock you bought one year ago at $102.65 recently paid you a dividend of $3.17. You sold the stock today for $104.00. What is your holding period return (HPR) in both decimal and % form 1. (Sales Price Purchase Price) + Dividends HPR Purchase Price % format Or in
am. 104.

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