Use the following information to answer items 2-6: You bought XYZ, Inc. stock at year-end 2000, XYZ had the following stock prices and dividends paid at the end of these years: 23456 Year-end 2000 2001 2002 2003 2004 price 9.90 10 10.5 10 10.25 dividend paid 0.04 0.04 0.05 0.05 Capital gain Compute the dollar capital gains for each of the four years. Compute the holding period return for each of the four years for XYZ. Compute the holding period return for the full time period. Compute the arithmetic mean annual return for XYZ. Compute the geometric mean annual return for XYZ. Holding period return
Use the following information to answer items 2-6: You bought XYZ, Inc. stock at year-end 2000, XYZ had the following stock prices and dividends paid at the end of these years: 23456 Year-end 2000 2001 2002 2003 2004 price 9.90 10 10.5 10 10.25 dividend paid 0.04 0.04 0.05 0.05 Capital gain Compute the dollar capital gains for each of the four years. Compute the holding period return for each of the four years for XYZ. Compute the holding period return for the full time period. Compute the arithmetic mean annual return for XYZ. Compute the geometric mean annual return for XYZ. Holding period return
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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Transcribed Image Text:Use the following information to answer items 2-6:
You bought XYZ, Inc. stock at year-end 2000, XYZ had the following stock prices and dividends paid at the end of these
years:
23456
Year-end
2000
2001
2002
2003
2004
price
9.90
10
10.5
10
10.25
dividend paid
0.04
0.04
0.05
0.05
Capital gain
Compute the dollar capital gains for each of the four years.
Compute the holding period return for each of the four years for XYZ.
Compute the holding period return for the full time period.
Compute the arithmetic mean annual return for XYZ.
Compute the geometric mean annual return for XYZ.
Holding period return
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