Calculate tammys total return on this investment

Assignment Help Financial Management
Reference no: EM13875912

Tammy Jackson purchased 187 shares of All-American Manufacturing Company stock at $34.50 a share. One year later, she sold the stock for $43 a share. She paid her broker a $36 commission when she purchased the stock and a $45 commission when she sold it. During the 12 months she owned the stock, she received $237 in dividends. Calculate Tammy’s total return on this investment. (Round intermediate calculations and final answer to 2 decimal places.)

PLS show work

Reference no: EM13875912

Questions Cloud

What is the equivalent annual annuity if the discount rate : Machinery costs $1 million today and $100,000 per year to operate. It lasts for 8 years. What is the equivalent annual annuity if the discount rate is 5%? Enter your answer in dollars and round to the cent.
Firm is reviewing project-what is the profitability index : A firm is reviewing a project that has an initial cost of $25,000. The project will produce an annual cash inflows, starting with year 1, $4,000, $6,000,$9,300 and finally in year 4, $15,050. What is the profitability index if the discount rate is 5 ..
What is the after tax salvage value of the asset : An asset used in a four-year project falls in the five-year MACRS class for tax purposes. The asset has an acquisition cost of $6,030,000 and will be sold for $1,230,000 at the end of the project. If the tax rate is 34 percent, what is the after tax ..
Specific on the tools of monetary policy : The economy is slowing down, not growing and unemployment is going up. If you are on the Federal Reserve Board of Governors what type of policy would you pursue? Please be specific on the tools of monetary policy.
Calculate tammys total return on this investment : Tammy Jackson purchased 187 shares of All-American Manufacturing Company stock at $34.50 a share. One year later, she sold the stock for $43 a share. She paid her broker a $36 commission when she purchased the stock and a $45 commission when she sold..
Advantages to buying mutual funds over individual stocks : Explain mutual funds. Explain three advantages to buying mutual funds over individual stocks. Please explain the difference between an actively traded fund vs. and indexed fund.
Differentiate between accrual accounting and cash basis : Bob’s personal wealth including investments in land, stocks, and bonds is about $14,000,000. He reported an interest income of $20,000 and dividend income of $6,000 last year. The $14,000,000 includes land worth $9,000,000 that Bob bought in 1966 for..
Amortization schedule : Set up an amortization schedule for a $42,000 loan to be repaid in equal installments at the end of each of the next 3 years. The interest rate is 6% compounded annually. Round all answers to the nearest cent. What percentage of the payment represent..
Evaluating an extra dividend versus share repurchase : Wally’s Penguins is evaluating an extra dividend versus a share repurchase. In either case, $5,500 would be spent. Current earnings are $1 per share, and the stock currently sells for $27 per share. There are 2,500 shares outstanding. Ignore taxes an..

Reviews

Write a Review

Financial Management Questions & Answers

  What is beta of portfolio comprised of securities

What is the beta of a portfolio comprised of the following securities? Stock Amount Invested Security Beta

  What is the companys weighted average cost of capital

Dobson Dairies has a capital structure, which consists of 60 percent long-term debt and 40 percent common stock. Assume the firm will be able to use retained earnings to fund the equity portion of its capital budget. What is the company’s weighted av..

  The effective annual yield on a one-year zero coupon bond

The effective annual yield on a one-year zero coupon bond is 7% and the effective annual interest rate on a two-year zero coupon bond is 8%. You are able to arrange a one-year forward investment at rate i for a one-year period.

  Developing a balanced scorecard explore the need for

developing a balanced scorecard explore the need for organisations to calculate and manage performance against

  What is the principal balance on the loan after six months

Assume the following information for a car note: Original loan amount = $23,500 Annual interest rate = 7.25% Term of loan = 24 months. What is the principal balance on the loan after six months?

  An all equity firm generates cash flows

An all equity firm generates cash flows (CFFA) of $100 million every year in perpetuity. Based on the risk of the cash flows, a discount rate of 20% is appropriate for the firm. The firm is considering a project that will require an investment of $75..

  What is the firms effective cost of borrowing

Company has an average collection period of 34 days and factors all of its receivables immediately at a 3.1 percent discount. Assume all accounts are collected in full. What is the firm's effective cost of borrowing? Identify which of the following w..

  Consultancy report to anthonys orchard

Review the readings and media for this unit, including the Anthony's Orchard case study media and familiarise yourself with the Anthony's Orchard company and its current situation; this can be done by exploring each of the tabs across the top of th..

  Initial investment-operating cash inflows-terminal cash flow

Lasting Impressions (LI) Company is a medium-sized commercial printer of promotional advertising brochures, booklets, and other direct-mail pieces. The firm’s major clients are ad agencies based in New York and Chicago. For each of the two proposed r..

  Decided to place equal year-end deposits

You need to accumulate $72,841 for your son's education. You have decided to place equal year-end deposits in a savings account for the next 18 years. The savings account pays 8.42 percent per year, compounded annually. How much will each annual paym..

  Risk-free zero coupon bond with face value

Stock A is a non-dividend paying stock, and at time 0 (that is t=0) it has a spot price of $24. At the same time, a risk-free zero coupon bond with face value 1,000 and maturity 3 year has a price of 789.

  What rate of interest per annum did you earn

Two years ago, you invested $2,500. Today it is worth $2,809. What rate of interest per annum did you earn? Twenty years ago, your mother invested $15,000. Today, that investment is worth $76,681. What is the average annual rate of return she earned ..

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