Question

You purchased a stock at a price of $53.12. The stock paid a dividend of $2.15...

You purchased a stock at a price of $53.12. The stock paid a dividend of $2.15 per share and the stock price at the end of the year is $59.47. What is the capital gains yield?

0 0
Add a comment Improve this question Transcribed image text
Answer #1

The Capital Gain Yield

Capital Gain Yield = [(Price at the end of the year – Purchase price) / Purchase price] x 100

= [($59.47 - $53.12) / $53.12] x 100

= [$6.35 / $53.12] x 100

= 11.95%

“Hence, the Capital Gain Yield will be 11.95%”

Add a comment
Know the answer?
Add Answer to:
You purchased a stock at a price of $53.12. The stock paid a dividend of $2.15...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • You purchased a stock at a price of $45.09. The stock paid a dividend of $1.71...

    You purchased a stock at a price of $45.09. The stock paid a dividend of $1.71 per share and the stock price at the end of the year is $50.89. What is the capital gains yield? 10.83% 3.79% 16.66% 12.86%

  • You purchased a stock at a price of $60.42. The stock paid a dividend of $1.63...

    You purchased a stock at a price of $60.42. The stock paid a dividend of $1.63 per share and the stock price at the end of the year is $54.12. What are your capital gains on this investment? Ο Ο Multiple Choice Ο -$6.30 Ο -$4.67 Ο -$1.63 Ο -$5.89 Ο -$5.49

  • You purchased a stock at a price of $38.52. The stock paid a dividend of $1.35...

    You purchased a stock at a price of $38.52. The stock paid a dividend of $1.35 per share and the stock price at the end of the year is $43.87. What was the dividend yield?

  • Suppose a stock had an initial price of $87 per share, paid a dividend of $2.15...

    Suppose a stock had an initial price of $87 per share, paid a dividend of $2.15 per share during the year, and had an ending share price of $78. a. Compute the percentage total return. (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) b. What was the dividend yield? (Do not round intermediate calculations and enter your answer as...

  • Suppose a stock had an initial price of $87 per share, paid a dividend of $2.15...

    Suppose a stock had an initial price of $87 per share, paid a dividend of $2.15 per share during the year, and had an ending share price of $78. a. Compute the percentage total return. (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) b. What was the dividend yield? (Do not round intermediate calculations and enter your answer as...

  • Suppose a stock had an initial price of $87 per share, paid a dividend of $2.15...

    Suppose a stock had an initial price of $87 per share, paid a dividend of $2.15 per share during the year, and had an ending share price of $98. a. Compute the percentage total return. (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) b. What was the dividend yield? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) c. What was the...

  • You purchased a stock at a price of $43.63. The stock paid a dividend of $1.63...

    You purchased a stock at a price of $43.63. The stock paid a dividend of $1.63 per share and the stock price at the end of the year is $49.33. What was the dividend yield? Ο Ο 411% Ο 374% Ο 13.06% Ο 16.80% Ο 4.48%

  • Suppose a stock had an initial price of $87 per share, paid a dividend of $2.15...

    Suppose a stock had an initial price of $87 per share, paid a dividend of $2.15 per share during the year, and had an ending share price of $78. a. Compute the percentage total return. (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) b. What was the dividend yield? (Do not round intermediate calculations and enter your answer as...

  • 1) You purchased a stock at a price of $42.90. The stock paid a dividend of...

    1) You purchased a stock at a price of $42.90. The stock paid a dividend of $1.59 per share and the stock price at the end of the year is $48.55. What is the capital gains yield? Multiple Choice 11.64% 13.17% 11.06% 16.88% 3.71% 2) Based on the period of 1926 through 2017, _____ have tended to outperform other securities over the long-term. Multiple Choice a) U.S. Treasury bills b) large-company stocks c) long-term corporate bonds d) small-company stocks e)...

  • You purchased a stock at a price of $46.06. The stock paid a dividend of $1.47...

    You purchased a stock at a price of $46.06. The stock paid a dividend of $1.47 per share and the stock price at the end of the year was $50.56. What was the total return for the year? 12.96% 9.77% 12.38% 3.19% 11.81%

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT