Question: Using the data in the table to the right, calculate the return for investing in the stock from January 1 to December 31. Prices are

Using the data in the table to the right, calculate the return for investing in the stock from January 1 to December 31. Prices are after the dividend has been paid.

Date

Price

Dividend

Jan 1

$33.71

Feb 5

$30.93

$0.17

May 14

$31.37

$0.21

Aug 13

$31.15

$0.17

Nov 12

$37.12

$0.18

Dec 31

$40.31

a. What is the arithmetic average return over the 10-year period?

b. What is the geometric average return over the 10-year period?

c. If you invested $100 at the beginning, how much would you have at the end?

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