On 4/9/18, Bank of America Corporation’s (BAC) common shares closed at $28.80/share, and on 4/8/19 the...
On 4/9/18, Bank of America Corporation’s (BAC) common shares closed at $28.80/share, and on 4/8/19 the stock price closed at $29.86. During the past year BAC paid $.54/share in dividends. What was BAC’s annual total return (ATR) for the past year? *
Homework Answers
Total return = ((Dividend + Closing price- Initial price)/ Initial price )* 100
= ((0.54+29.86-28.80)/28.80) * 100
= (1.6/28.80)*100
=5.55%
Add Answer to:
On 4/9/18, Bank of America Corporation’s (BAC) common shares
closed at $28.80/share, and on 4/8/19 the...
Bank of America’s common stock (NYSE: BAC) is now trading at $20 per share and has...
Bank of America’s common stock (NYSE: BAC) is now trading at $20 per share and has a beta of 1.5. The risk-free rate is 2% per year and the market return is expected to stay at 12% per year. An analyst forecasts that BAC currently has an expected annual return of 18%. If the analyst is right, is BAC undervalued? Should you buy the stock?
Problem 19-18 EPS; stock options; nonconvertible preferred; convertible bonds; shares sold [LO19-4, 19- 5, 19-6, 19-7,...
Problem 19-18 EPS; stock options; nonconvertible preferred; convertible bonds; shares sold [LO19-4, 19- 5, 19-6, 19-7, 19-8, 19-9] At January 1, 2018, Canaday Corporation had outstanding the following securities: 600 million common shares 20 million 6% cumulative preferred shares, $50 par 8% convertible bonds, $2,000 million face amount, convertible into 80 million common shares The following additional information is available: • On September 1, 2018, Canaday sold 72 million additional shares of common stock. • Incentive stock options to purchase...
Exercise 19-20 EPS; shares issued; stock options [LO19-6, 19-7, 19-8, 19-9] Stanley Department Stores reported net...
Exercise 19-20 EPS; shares issued; stock options [LO19-6, 19-7, 19-8, 19-9] Stanley Department Stores reported net income of $746,000 for the year ended December 31, 2018. Additional Information: Common shares outstanding at Jan. 1, 2018 70,000 Incentive stock options (vested in 2017) outstanding throughout 2018 12,000 (Each option is exercisable for one common share at an exercise price of $21.50) During the year, the market price of Stanley’s common stock averaged $25.8 per share. On Aug. 30 Stanley sold 15,000...
2. A share of Smartphone Corporation’s common stock just paid an annual dividend of $2.42 (i.e.,...
2. A share of Smartphone Corporation’s common stock just paid an annual dividend of $2.42 (i.e., D0 = $2.42), and the company’s dividend is expected to grow for a long, long time at 7% per year. You require an 11% annual rate of return for this kind of investment. A share of Smartphone’s common stock currently trades for $89.25. Do you buy a share? Why, or why not?
Exercise 19-20 EPS; shares issued; stock options [LO19-6, 19-7, 19-8, 19-9) Stanley Department Stores reported net inco...
Exercise 19-20 EPS; shares issued; stock options [LO19-6, 19-7, 19-8, 19-9) Stanley Department Stores reported net income of $765,000 for the year ended December 31, 2018. Additional Information: 85,000 24,000 Common shares outstanding at Jan. 1, 2018 Incentive stock options (vested in 2017) outstanding throughout 2018 (Each option is exercisable for one common share at an exercise price of $22.50) During the year, the market price of Stanley's common stock averaged $27.0 per share. On Aug. 30 Stanley sold 15,000...
Assume you sell short 100 shares of common stock at $18 per share, with initial margin...
Assume you sell short 100 shares of common stock at $18 per share, with initial margin at 54%. What would be your rate of return if you repurchase the stock at $35 per share? The stock paid no dividends during the period, and you did not remove any money from the account before making the offsetting transaction. Answer in percentages, for example if the answer is 43.51%, answer 43.51, and remember to use a dot as a decimal separator Clarification:...
A share of BAC common stock has just paid a dividend of $1.00. The market return...
A share of BAC common stock has just paid a dividend of $1.00. The market return is 12% and the beta is 1.5. The three month T-bill rate is 4%. The expected long-run growth rate for this stock is 8 percent. (Keep your answer to only two decimals) a. What is the required return for the stock ? (hint: CAPM) (Example of the answer format: 55.55% ) b. What is the stock price? (Example of the answer format: $55.55))
Problem 19-12 EPS; nonconvertible preferred stock; treasury shares; shares sold; stock dividend; options (LO19-4, 19-5, 19-6,...
Problem 19-12 EPS; nonconvertible preferred stock; treasury shares; shares sold; stock dividend; options (LO19-4, 19-5, 19-6, 19-7, 19-8, 19-10] On December 31, 2017, Dow Steel Corporation had 600,000 shares of common stock and 300,000 shares of 8%, noncumulative, nonconvertible preferred stock issued and outstanding. Dow issued a 4% common stock dividend on May 15 and paid cash dividends of $400,000 and $75,000 to common and preferred shareholders, respectively, on December 15, 2018. On February 28, 2018, Dow sold 60,000 common...
Exercise 19-17 EPS; stock dividend; nonconvertible preferred stock; treasury shares; shares sold; stock options [LO19-5, 19-6,...
Exercise 19-17 EPS; stock dividend; nonconvertible preferred stock; treasury shares; shares sold; stock options [LO19-5, 19-6, 19-7, 19-8] On December 31, 2017, Berclair Inc, had 400 million shares of common stock and 5 million shares of 9%, $100 par value cumulative preferred stock issued and outstanding. On March 1, 2018, Berclair purchased 104 million shares of its common stock as treasury stock. Berclair issued a 5% common stock dividend on July 1, 2018. Four million treasury shares were sold on...
On December 31, 2017, Berclair Inc. had 220 million shares of common stock and 4 million shares of 9%, $100 par value cu...
On December 31, 2017, Berclair Inc. had 220 million shares of
common stock and 4 million shares of 9%, $100 par value cumulative
preferred stock issued and outstanding. On March 1, 2018, Berclair
purchased 24 million shares of its common stock as treasury stock.
Berclair issued a 5% common stock dividend on July 1, 2018. Four
million treasury shares were sold on October 1. Net income for the
year ended December 31, 2018, was $110 million. The income tax rate...
Problem 19-18 EPS; stock options; nonconvertible preferred; convertible bonds; shares sold [LO19-4, 19- 5, 19-6, 19-7, 19-8, 19-9] At January 1, 2018, Canaday Corporation had outstanding the following securities: 600 million common shares 20 million 6% cumulative preferred shares, $50 par 8% convertible bonds, $2,000 million face amount, convertible into 80 million common shares The following additional information is available: • On September 1, 2018, Canaday sold 72 million additional shares of common stock. • Incentive stock options to purchase...
Exercise 19-20 EPS; shares issued; stock options [LO19-6, 19-7, 19-8, 19-9) Stanley Department Stores reported net income of $765,000 for the year ended December 31, 2018. Additional Information: 85,000 24,000 Common shares outstanding at Jan. 1, 2018 Incentive stock options (vested in 2017) outstanding throughout 2018 (Each option is exercisable for one common share at an exercise price of $22.50) During the year, the market price of Stanley's common stock averaged $27.0 per share. On Aug. 30 Stanley sold 15,000...
Problem 19-12 EPS; nonconvertible preferred stock; treasury shares; shares sold; stock dividend; options (LO19-4, 19-5, 19-6, 19-7, 19-8, 19-10] On December 31, 2017, Dow Steel Corporation had 600,000 shares of common stock and 300,000 shares of 8%, noncumulative, nonconvertible preferred stock issued and outstanding. Dow issued a 4% common stock dividend on May 15 and paid cash dividends of $400,000 and $75,000 to common and preferred shareholders, respectively, on December 15, 2018. On February 28, 2018, Dow sold 60,000 common...
Exercise 19-17 EPS; stock dividend; nonconvertible preferred stock; treasury shares; shares sold; stock options [LO19-5, 19-6, 19-7, 19-8] On December 31, 2017, Berclair Inc, had 400 million shares of common stock and 5 million shares of 9%, $100 par value cumulative preferred stock issued and outstanding. On March 1, 2018, Berclair purchased 104 million shares of its common stock as treasury stock. Berclair issued a 5% common stock dividend on July 1, 2018. Four million treasury shares were sold on...
On December 31, 2017, Berclair Inc. had 220 million shares of
common stock and 4 million shares of 9%, $100 par value cumulative
preferred stock issued and outstanding. On March 1, 2018, Berclair
purchased 24 million shares of its common stock as treasury stock.
Berclair issued a 5% common stock dividend on July 1, 2018. Four
million treasury shares were sold on October 1. Net income for the
year ended December 31, 2018, was $110 million. The income tax rate...
Most questions answered within 3 hours.
-
Where is the error in this code sequence?
String s1 = "Hello";
String s2 = "ello";...
asked 11 months ago -
Financial data for Joel de Paris, Inc., for last year
follow:
Joel de Paris, Inc.
Balance...
asked 11 months ago -
Consider this reaction:
Al2(SO4)3 (aq)+ BaCl3
(aq) Al2Cl6 (aq)- +
3BaSO4(s) . What is the...
asked 11 months ago -
Suppose that Savneet is considering increasing her
recent random sample from 20 car rentals to 40...
asked 11 months ago -
Trucks arrive at an unloading terminal at an average rate of 120
per hour.
Trucks arrive...
asked 11 months ago -
Why are methanol and ethanol completely soluble in water while
octanol is not very little soluble....
asked 11 months ago -
A facilities manager at a university reads in a research report
that the mean amount of...
asked 11 months ago -
When the CuSO4 is rehydrated by adding water to the anhydrous
compound, is this an endothermic...
asked 11 months ago -
A ray of sunlight is passing from diamond into crown glass; the
angle of incidence is...
asked 11 months ago -
A block of mass 0.249 kg is placed on top of a light, vertical
spring of...
asked 11 months ago -
how do the kidneys compensate in the presences of acidosis
a) trigger hyperventilate
b) reserve acid...
asked 11 months ago -
Question 501 pts
The rental rate of capital to the firm increases. Which of the
following...
asked 11 months ago