Amy G.

asked • 02/16/14

calculating dividends

A stock costs $80 and pays a $4 dividend each year for three years.
a.) If an investor buys the stock for $80 and expects to sell it for $100 after three years, what is the    anticipated annual rate of return?
b.) What would be the rate of return if the purchase price were $60?
c.)  What would be the rate of return if the dividend were $1 annually and the purchase price were $80 and the sale price were $100?

1 Expert Answer


Sherryse H. answered • 12/17/14

3 (1)

Accounting, Income Tax, Excel

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