What annual rate of return did she receive on her investment

Assignment Help Microeconomics

Reference no: EM132161010

Question: Jan purchased 100 shares of Peach Computer stock for $18 per share, plus a $45 brokerage commission. Every 6 months she received a dividend from Peach of 50 cents per share. At the end of 2 years, just after receiving the fourth dividend, she sold the stock for $23 per share and paid a $58 brokerage commission from the proceeds. What annual rate of return did she receive on her investment?

Reference no: EM132161010

Questions Cloud

What is your monthly payment : A home mortgage with monthly payments for 30 years is available at 6% interest. The home you are buying costs $120,000, and you have saved $12,000 to meet.

What is the interest rate you would pay by financing : Some laboratory equipment sells for $75,000. The manufacturer offers financing at 8% with annual payments for 4 years for up to $50,000 of the cost.

What effective annual interest rate would you be paying : A new car dealer advertises financing at 0% interest over 4 years with monthly payments or a $3000 rebate if you pay cash. (a) The car you like costs $12,000.

What is your effective annual interest rate : A used car dealer advertises financing at 0% interest over 3 years with monthly payments. You must pay a processing fee of $250 at signing.

What annual rate of return did she receive on her investment : Jan purchased 100 shares of Peach Computer stock for $18 per share, plus a $45 brokerage commission. Every 6 months she received a dividend from Peach.

What nominal annual interest rate is bank actually charge : A local bank makes auto loans. It charges 4% per year in the following manner: if $3600 is borrowed to be repaid over a 3-year period, the bank interest charge.

At what effective interest rate are given terms equivalent : The cash price of a machine tool is $3500. The dealer is willing to accept a $1200 down payment and 24 end-of-month monthly payments of $110 each.

Find effective annual interest rate paid by abc corporation : ABC Corporation is issuing some zero coupon bonds, which pay no interest. At maturity in 20 years they pay a face value of $10,000.

What is the effective interest rate an investor receives : ABC Corporation's recently issued bonds paying interest semiannually and maturing in 10 years. The face value of each bond is $1000, and 6.8%.

User Account

All Pages