Question: Problem 11-8 Real versus Nominal Returns (LO2) You purchase 100 shares of stock for $25 a share. The stock pays a $1 per share dividend
Problem 11-8 Real versus Nominal Returns (LO2) You purchase 100 shares of stock for $25 a share. The stock pays a $1 per share dividend at year end a. What is the rate of return on your investment if the end-of-year stock price is ( $24:() $25: (0) $28? (Leave no cells blank be certain to enter "O" wherever required. Enter your answers as a whole percent) Answer is complete and correct b. what is your real 0nflation-adjusted) rate of return if the inflation rate is 2%? (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places Negative amounts should be indicated by a minus sign Answer is complete but not entirely correct Prev 4 of 10 x 8 command option Rate of 24 1601% b, what is your real 0nflation-adjusted rate of return if the inflation rate is S71Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places. Negative amounts should be indicated by a minus sign.) Answer is complete but not entirely correct. Real Rate of 0000 % 20001% 25 8 commandop
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