A common stock is held for two years, during which time it receives an annual dividend of

Question:

A is held for two years, during which time it receives an annual of $20. The stock was sold for $100 and generated an average annual return of 32%. What price was paid for the stockwhat is the break-even probability of collection for a firm that has a 40% profit margin (ignore present value)?

Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on... Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...