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A) U purchase 100 shares of stock for $40 a share, the stock pays $2 per share dividend at the yr end

Finance Mar 30, 2021

A) U purchase 100 shares of stock for $40 a share, the stock pays $2 per share dividend at the yr end. What is the rate of return on your investment if the end yr stock price is (i)38 )ii)40 and (iii) 46?

 

B) What is your real (inflation adjustment) rate of return if inflation rate is 3%?

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