A French investor buys 100 shares of Teck for $4500 ($45 per share). Over the course of

Question:

A French investor buys 100 shares of Teck for $4500 ($45 per share). Over the course of a year, Teck goes up by $8.65.
a. If there is a 10 percent gain in the value of the dollar versus the euro, what will be the total percentage return to the French investor?
b. Now assume the stock increases by $10 but the dollar decreases by 10 percent versus the euro. What will be the total percentage return to the French investor?

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

Step by Step Answer:

Related Book For  book-img-for-question

Foundations of Financial Management

ISBN: 978-1259024979

10th Canadian edition

Authors: Stanley Block, Geoffrey Hirt, Bartley Danielsen, Doug Short, Michael Perretta

Question Posted: