Capital gains yield associated with holding the stock

Assignment Help Financial Management
Reference no: EM131044990

Last year, Julie Johnson bought one share of common stock for $950. During the year,Julie received $47.50 dividend. Earlier today, she sold the stock fo $988. (a) what rate of return did Julie earn on her investment? (b) what were the (1) dividend yield and (2) the capital gains yield associated with holding the stock?

Reference no: EM131044990

Questions Cloud

To properly assess a company past performance : To properly assess a company's past performance, an analyst requires: A. high earnings quality.
Probability of getting a weekend or day student : If a student is chosen at random, find The probability of getting a weekend or Day student. The probability of getting student who is a basketball and Sky Diving.
Discuss the benefits and pitfalls of planning : Discuss the benefits and pitfalls of planning. Describe how to make a plan that works. Discuss how companies can use plans at all management levels, from top to bottom.
Preferred stock pays an annual dividend equal : The Ape Copy Company’s preferred stock pays an annual dividend equal to $16.50. If investors demand a return equal to 11 percent to purchase Ape’s preferred stock, what is its market value?
Capital gains yield associated with holding the stock : Last year, Julie Johnson bought one share of common stock for $950. During the year,Julie received $47.50 dividend. Earlier today, she sold the stock fo $988. (a)what rate of return did Julie earn on her investment? (b) what were the (1) dividend yie..
Compute the aic bic five- and tenfold cross-validation : For the prostate data of Chapter 3, carry out a best-subset linear regression analysis, as in Table 3.3 (third column from left). Compute the AIC, BIC, five- and tenfold cross-validation, and bootstrap .632 estimates of prediction error. Discuss t..
Find a code of ethics for an organization or profession : Find a code of ethics for an organization or profession. Post that code in the Discussion Forum with the appropriate citation. What are the primary strengths and weaknesses of the code?
Projections given for price-quantity-variable costs : Scenario Analysis In the previous problem, suppose the projections given for price, quantity, variable costs, and fixed costs are all accurate to within ±10 percent. Calculate the best-case and worst-case NPV figures.
Information provided by a low-quality financial report : The information provided by a low-quality financial report will most likely: A. decrease company value.

Reviews

Write a Review

Financial Management Questions & Answers

  Determine operational expenditures

Compute the unit sales price at which Blake must sell its product in the current year in order to earn a budgeted target profit of £200,000.

  What was his annual rate of return on this sculpture

During 2003, a sculpture was sold at auction for a price of $10,313,500. Unfortunately for the previous owner, he had purchased it in 1999 at a price of $12,370,500. What was his annual rate of return on this sculpture?

  How much money is currently in the account

Your department at work places $10,000 every year-end into an account earning 5%. The money is used when the corporate office fails to fully finance your profitable projects. The money has not been touched since a deposit was made exactly five years ..

  Determine the equivalent uniform monthly cost of owning

An engineering freshman wants to purchase a laptop computer for use during the 5 years that she plans to study engineering at Louisiana Tech University. Use an interest rate of 12%, compounded monthly, and determine the equivalent uniform monthly cos..

  Knowledge of managerial finance

What industry is your company part of? Who are some of the company's primary competitors? What doe the future look like for this industry - The current ratio indicates the extent to which current liabilities are covered by those assets that are exp..

  Analyze effectiveness of financial monitoring and planning

DISCUSS now you would analyze the effectiveness of financial monitoring and planning. OUTLINE how you would monitor such improvements that are made in the monitoring of procedures.

  Callable bond with an annual coupon rate

Assume that you are considering the purchase of a 20-year, non callable bond with an annual coupon rate of 9.5%. The bond has a face value of $1,000, and it makes semi annual interest payments. If you require an 8.4% nominal yield to maturity on this..

  Find the estimated cast for a production level

Total costs were $76,700 when $26,000 units were produced and $95,000 when 37,000 units were produced. Use the high-low method to find the estimated cast for a production level of 32,000 units.

  A company can shorten its cash cycle by

A company can shorten its cash cycle by:

  Dealer is offering two financing programs

You are purchasing a new car for a price of $38,000. The dealer is offering two financing programs. Program 1 will allow you to take possession of your new car and defer your first payment for 6 months. Interest accrues monthly on your purchase durin..

  What would be the pr ice of the bond if the yield

Expert Security Inc. has 9 percent coupon bonds on the market with five (5 ) years left until maturity. These bonds make annual payments. If the yield to maturity on t he bond is 8 percent, what is the current price of the bond? What would be the pr ..

  What is plains overhead efficiency ratio

Plains National Bank has interest income of $250 million and interest expense of $110 million, noninterest income of $40 million and noninterest expense of $65 million on earning assets of $3,900 million. What is Plains' overhead efficiency ratio?

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