1. Calculate the rates of return (holding period returns) for the following stocks:  

Stock	Beginning price: P 0	Ending price: P 1	Dividend payment: D 1
A	21.38	16.06	2.6
B	108.74	118.92	5.25
C	4.25	5.58	0.19

Part 1

What was the rate of return for stock A?

Part 2

What was the rate of return for stock B?

Part 3

What was the rate of return for stock C?

2. You bought Samsung stock for $45 on April 1. The stock paid a dividend of $3 on July 1, and had a price of $53. It is now Oct. 1, and the stock price is $60.

Part 1

What was the arithmetic average quarterly return?

Part 2

What was the geometric average return per quarter?

3. You've recorded the following prices and dividend payments for a stock:

Month	Stock price	Dividend
1	43.28
2	43.44	0.65
3	41.86
4	44.15
5	44.34	0.65

Part 1

What was the return in month 5?

Part 2

What was the arithmetic average monthly return?

Part 3

What was the geometric average return per month

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