Company ABC pays an annual dividend of 2 per share, on a quarterly schedule. You purchase the

Fantastic news! We've Found the answer you've been seeking!

Question:

Company ABC pays an annual dividend of 2 per share, on a quarterly schedule. You purchase the stock today at 50/share, and hold it for half a year.

If the sale price is 55, your (annualized) rate-of-return is?

Related Book For answer-question

Financial Reporting Financial Statement Analysis and Valuation a strategic perspective

ISBN: 978-1337614689

9th edition

Authors: James M. Wahlen, Stephen P. Baginski, Mark Bradshaw

See More Books

Posted Date: Jun 27, 2023 04:08 AM

See More Questions

The Revreg Corporation pays an annual dividend of $1.60 per share. On Friday it closed at $44 per share with a net change of + 0.35. The dividend did not change. a. What was the yield on Friday? b....
Most corporations pay quarterly dividends on their common stock rather than annual dividends. Barring any unusual circumstances during the year, the board raises, lowers, or maintains the current...
Most corporations pay quarterly dividends on their common stock rather than annual dividends. Barring any unusual circumstances during the year, the board raises, lowers, or maintains the current...
What is the MFD? UFD? How are they related?
Lucas27 proved the following general result relating to Exercise 37. If p is any prime number, then (n/j) (mod p) can be found as follows: Expand n and j in base p as n = s0 + s1p + s2p2 + + skpk...
Consider the transition probability diagram of a binary symmetric channel shown in figure. The input binary symbols 0 and 1 occur with equal probability. Find the probabilities of the binary symbols...
What is a motion for judgment on the pleadings?
Neville Enterprises has a number of fully depreciated assets that are still being used in the main operations of the business. Because the assets are fully depreciated, the president of the company...
Are there any industries in which there are no clear penalties for being a late entrant? How about industries in which it is very important to be the first mover?
Tom Zopf owns and manages a computer repair service, which had the following trial balance on December 31, 2014 (the end of its fiscal year). Summarized transactions for January 2015 were as follows....
Activity2:JobHazardAnalysis(JHA) Toperform thisactivity,thetrainer/assessor shallshowthe required toolsand equipmentand thework...
Ekumbaba Ltd is a small wholesaler of model aeroplanes. It only has a few employees. The owner of the business, who is also the manager, makes daily deposits of customers' cheques into the firm's...
On 1 January 2016, Yip Ltd acquired additional equipment at a cost of $120 000, less a trade discount of 25 percent. The terms of payment were 2/10, n/30. Payment was made on 20 January 2016. Freight...
Foofaraw Ltd paid $200 000 for the land, buildings, inventories and accounts payable of another business that will become a branch. The assets (after deducting the accounts payable of $50 000) had an...
The following information is taken from the accounting records of Golden Ltd for the year ended 31 December 2016. Golden Ltd uses a perpetual inventory system. Determine the cost of ending inventory...
Winedark Sea Ltd sells prints of classic paintings. The prints are done on expensive paper and are quite costly. Pricing the prints to sell is hard because the popularity of a print is difficult to...
Use an Object Array to mimic the data structures of ArrayList. On these functions. Requirement: ** * Inserts all of the elements in the specified student.SimpleArrayList into this * list at the...
Integration is a vital concept when applied in one?s life. Integrating your life means making ideal choices. Perfect choices on the other go in line with quality decisions. Quality decisions lead to...
A firm has experienced a decrease in its current ratio but an increase in its quick ratio during the last three years. What is the likely explanation for these results?
Whirlpool manufactures and sells home appliances under various brand names. IBM develops and manufactures computer hardware and offers related technology services. Target Stores operates a chain of...
Identify the exchange rates used to translate income statement and balance sheet items when the foreign currency is defined as the functional currency. Discuss the logic for the use of the exchange...
Describe the financial accounting journal entry to record the sale/disposal of a fixed asset.
Ski resorts are interested in the mean age that children take their first ski and snowboard lessons. They need this information to plan their ski classes optimally. identify: a. the population, b....
Insurance companies are interested in the mean health costs each year of their clients, so that they can determine the costs of health insurance. identify: a. the population, b. the sample, c. the...

Company ABC pays an annual dividend of 2 per share, on a quarterly schedule. You purchase the

Question:

Expert Answer:

First lets calculate the dividend income over the holding period of half a year or 05 years Divid... View the full answer

Financial Reporting Financial Statement Analysis and Valuation a strategic perspective

Students also viewed these finance questions