You invest $5,062 in stock and receive $68, $75, $93, and $95 in dividends over the following 4 years. At the end of the 4 years, you sell the stock for $7,200. What was the IRR on this investment? The IRR on this investment is *** %. (Round to the nearest whole percent.)

You invest $5,062 in stock and receive $68, $75, $93, and $95 in dividends over the following 4 years. At the end of the 4 years, you sell the stock for $7,200. What was the IRR on this investment? The IRR on this investment is *** %. (Round to the nearest whole percent.)

Name: You invest $5,062 in stock and receive $68, $75, $93, and $95 in divi
Uploaded: 2024-03-20T06:51:32.000Z
Channel: Bartleby
Description: You invest $5,062 in stock and receive $68, $75, $93, and $95 in dividends over the following 4 years. At theend of the 4 years, you sell the stock for $7,200. What was the IRR on this investment?The IRR on this investment is %. (Round to the neares

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter7: Common Stock: Characteristics, Valuation, And Issuance

Section: Chapter Questions

Problem 17P

See similar textbooks

Similar questions

You purchased a stock at a price of $24. A year later the stock is worth $29, and during the year it paid $1.0 in dividends. What was the rate of return you earned on this investment? Show your answer in percent (but without the percent sign), and to one decimal place. E.g. 4.67% should be inputted as 4.7
Assume you purchase a share of stock for $50 at time t=0, and another share at $65 at time t= 1, and at the end of year 1 and year 2, the stock paid a $2.00 dividend. Also, at the end of year 2 you sold both shares for $70 each. What is the time-weighted rate of return? Give typing answer with explanation and conclusion
Suppose you purchase one share of the stock of Red Devil Corporation at the beginning of year 1 for $46.50. At the end of year 1, you receive a dividend of $2, and buy one more share for $50.50. At the end of year 2, you receive total dividends of $4 (i.e., $2 for each share), and sell the shares for $58.50 each. What is the time-weighted return on your investment? (Round your answer to 2 decimal places. Do not round intermediate calculations.)
Suppose you bought a stock for $22.7 per share and then sold it for $14.7 per share. In the mean time, you received dividends of $1 per share. What was your total return from this investment? Answer in percent rounded to one decimal place.
You purchase 100 shares of stock for $40 a share. The stock pays a $4 per share dividend at year-end. a. What is the rate of return on your investment if the end-of-year stock price is (i) $36; (ii) $40; (iii) $44? (Leave no cells blank - be certain to enter "0" wherever required. Enter your answers as a whole percent.) b. What is your real (inflation-adjusted) rate of return if the inflation rate is 8%? (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.)
You purchase 100 shares of stock for $50 a share. The stock pays a $3 per share dividend at year-end. A. What is the rate of return on your investment if the end of year stock price is (I) $47; (ii) $50; (iii) $53? B. What is your real (inflation adjusted) rate of return if the inflation rate is 5%?
You purchase 100 shares of stock for $50 a share. The stock pays a $4 per share dividend at year-end. a. What is the rate of return on your investment if the end-of-year stock price is (i) $46; (ii) $50; (iii) $55? b. What is your real (inflation-adjusted) rate of return if the inflation rate is 6%?
Suppose you purchase one share of the stock of Red Devil Corporation at the beginning of year 1 for $43.00 At the end of year 1, you receive a dividend of $2, and buy one more share for $47.00. At the end of year 2, you receive total dividends of $4 (e., $2 for each share), and sell the shares for $55.00 each. What is the time-weighted return on your investment? (Round your answer to 2 decimal places. Do not round intermediate calculations.) Return 1%
You purchase 100 shares of stock for $47 a share. The stock pays a $3 per share dividend at year - end. What is the rate of return on your investment for these end-of-year stock prices? What is your real (inflation - adjusted) rate of return? Assume an inflation rate of 4%. (Round your answers to 2 decimal places. Use the minus sign for negative numbers if it is necessary.) a) End of year stock price = $43 Real rate of return = ? Real rate= ? b) End of year stock price = $47 Real rate of return= ? Real rate= ? c) End of year stock price = $50 Real rate of return= ? Real rate = ?
An investor purchases a stock for $50 and over the next year, receives a $0.75 dividend. At the end of the year, the stock is priced at $53. In the second year, the stock pays a $1.00 dividend and at the end of the year the stock is priced at $51. a. Compute the dollar return for each year. b. Compute the percentage return for each year.
You purchase 115 shares of stock for $53 a share. The stock pays a $7 per share dividend at year- end. What is the rate of return on your investment for these end-of-year stock prices? What is your real (inflation-adjusted) rate of return? Assume an inflation rate of 5%. (Round your answers to 2 decimal places. Use the minus sign for negative numbers If it is necessary.) a. End-of-year stock price = $48 Rate of return Real rate b. End-of-year stock price = $53 Rate of return Real rate c. End-of-year stock price = $60 Rate of return Real rate
Suppose you bought a stock for $18.6 per share and you sold it for $41.9 after 2 years. The stock did not pay any dividends. What was your compound average monthly return from this investment? Answer in percent, rounded to two decimal places. Type your numeric answer and submit