What is your effective annual rate of return

Assignment Help Finance Basics
Reference no: EM13286425

Calculating returns: now suppose the call money rate is 6 percent and your broker charges you a spread of 1.25 percent over thus rate. You hold the stock for six months and sell at a price of $53 per share. The company paid a dividend of $.25 per share the day before you sold your stock. What is your total dollar return from this investment? What is your effective annual rate of return?

Reference no: EM13286425

Previous Q& A

  Determine what is the net electric flux through the surface

A point charge of 1.8mC is at the centre of a cubical Gaussain surface having each side 50cm. What is the net electric flux through the surface

  Find the force due to radiation pressure

The mirrors used in a particular type of laser are 99.99% reflecting. What is the force due to radiation pressure on one of the mirrors

  Calculating annuities are planning to save for retirement

How much can you withdraw each month from your account assuming a 25-year withdrawal period?

  Find the resistance and the inductance of the coil

The current in a solenoid is 5amps when it is connected to a 24v battery and 1.2amps when it is connected to a 24v, 60 Hz alternating current power source. Find the resistance and the inductance of the coil.

  What is the initial requirement

In the previous problem, suppose you sell the stock at a price of $42. what is your return? what would your return have been had you purchased the stock without margin? what if the stock price is $34 when you sell the stock?

  Determine the average current by the method of averaging

A 200 hp, 230 V, 500 rpm separately excited dc motor is controlled by a chopper. The chopper is connected to a bridge-diode rectifier supplied from a 230 V, 3 phase, 60 Hz ac main. The motor chopper details are as follows:

  Find the radiation pressure at the surface of the sun

The intensity of sunlight striking Earth's upper atmosphere (called the solar constant) is 1.35 kW/m2. Find the radiation pressure at the surface of the sun

  What is the expected return on the mutual fund

What is the standard deviation of returns for the mutual fund? Is it higher or lower than the standard deviation found in part 2? Why?

  Find variation in duty cycle required to speed variation

The motor details are as follows: 1 hp, 10V, 2500 rpm, 78.5 % efficiency, Ra=.01 O, La=.002 H, Kb= .03819 V/rad/sec. The chopper is one quadrant, and the on-state voltage drop across the device is assumed to be 1V regardless of the current variati..

  Explain the ph of a solution resulting from the dissolution

What is the pH of a solution resulting from the dissolution of 2.09 g of NH4Br in water to form 0.371 L of solution


Write a Review


Similar Q& A

  What is the market to book ratio of each company

In Mid 2012, the following information was true about abercrombie and fitch (ANF) and The GAP (GPS), both clothing retailers. Values(except price per share) are in millions of dollars.

  Foreign exchange risk-interest rate and exchange rates

In international cash management, managers have choice between managing only foreign exchange risk or managing foreign exchange and interest rate risk together.

  At what minimum stock price would you be willing to convert

You purchase a $1000 face value convertible bond for $975. The bond can be converted into 150 shares of stock. The stock is currently priced at $5.25. At what minimum stock price would you be willing to convert?

  Compute the present value of these dividends

Fresno Corp. is a fast-growing company that expects to grow at a rate of 21 percent over the next two years and then to slow to a growth rate of 16 percent for the following three years. If the last dividend paid by the company was $2.15.

  Mortgage-annuity and rate of return

A $20,000 mortgage is to be paid through 180 equal monthly payments, each comprising some principal along with interest on outstanding principal, at an effective rate of 3 1/2 per half year. What are the monthly payments?

  All loans are fully amortizing which should be selected

1.Joshua and Jim have owned a property for 15 years, the value of which is now $200,000.The balance on the original mortgage is $100,000, and the monthly payments are $1,100, with 15 years remaining.

  Explain accounting terms or theories

You have been hired as the CFO of a new company and are determining the corporation accounting needs.

  Present value of all future earnings

You are running a hot internet company. Analysts predict that its earnings will grow at 30% for each year for the next five years. After that, as competition rises, earnings growth is expected to slow to 2% per year and continue at that level fore..

  Calculate expected rate of return and standard deviation

A project that expenses $3,000 to install will provide annual cash flows of $800 for each of the next six years. Is this project worth pursuing if the discount rate is 10%?

  Which truck has the lowest equivalent annual cost

Truck A has an estimated seven-year life. Truck B will cost $20,000 and will last five years, with annual operating costs of $10,000. Which truck has the lowest equivalent annual cost if your discount rate is 8%?

  What is the pi for mulligan current project

That way Mulligan can get an idea as to which project might be a better choice. What is the PI for Mulligan's current project?

  Compute the component costs of debt

After collection all the information and prepares the following table - accordingly, compute the component costs of debt, preferred stock, and common stock.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd