Question

I pulls Save Answer You purchased Butterfly Wing Corp. stock exactly one year ago at a price of $74.47 per share. Over the past year, the stock paid dividends of $2.26 per share. Today, you sold your stock and earned a total return of 14.63 percent. What was the price at which you sold the stock? $91.06 $85.36 $83.10 $87.50 $89.63

Answer 1

Ans $ 83.10

Return in $ = Opening Stock Price * Total Return

                   = 74.47 * 14.63%

                   = $ 10.89

Return Due to Increase in Stock Price = Total Return -Dividend Return

                                                              = $ 10.89 - $ 2.26

                                                              = $ 8.63

Closing Price of Stock = Opening Price of Stock + Return due to increase in stock price

                                    = 74.47 + 8.63

                                     = $ 83.10