International investment returns

Assignment Help Financial Management

Reference no: EM131446179

Personal Finance Problem Joe? Martinez, a U.S. citizen living in? Brownsville, Texas, invested in the common stock of? Telmex, a Mexican corporation. He purchased 3,000 shares at 18.00 pesos per share. Twelve months? later, he sold them at 22.00 pesos per share. He received no dividends during that time.

a. What was? Joe's investment return? (in percentage? terms) for the? year, on the basis of the peso value of the? shares?

b. The exchange rate for pesos was 10.08 pesos per? US$1.00 at the time of the purchase. At the time of the? sale, the exchange rate was 10.64 pesos per? US$1.00. Translate the purchase and sale prices into? US$.

c. Calculate? Joe's investment return on the basis of the? US$ value of the shares.

d. Explain why the two returns are different. Which one is more important to? Joe? ? Why?

Reference no: EM131446179

Questions Cloud

Gathering that information and testing your idea : What counts as good evidence in convincing the home owners that solar energy is a good investment? What kinds of information will be important in convincing them that having solar system installed is a good idea? What obstacles do you expect to en..

Discuss about the mechanization and automation : Wal-Mart is well know to be a leader in Supply Chain Management. This week's writing assignment is related to Wal-Mart. Search the internet, the APUS library, books, periodicals, articles. In a minimum of at least 300 words describe innovations Wa..

Shares of common stock outstanding : A company has total assets of $5.5 million, total liabilities of $2.5 million, and $440,000worth of 8% preferred stocks outstanding? What is the firm's total book value? Enter your answer in dollars and not in millions of dollars. What would its book..

How six sigma manufacturing organizations : Construct an example of how Six Sigma for Data Mining helps manufacturing organizations. Evaluate the relation of the Define, Measure, Analyze, Improve and Control (DMAIC) methodology to Six Sigma for Data Mining.

International investment returns : Personal Finance Problem Joe? Martinez, a U.S. citizen living in? Brownsville, Texas, invested in the common stock of? Telmex, a Mexican corporation. What was? Joe's investment return? (in percentage? terms) for the? year, on the basis of the peso va..

Microsoft sdl threat modeling process : What are the benefits or issues with Microsoft's SDL Threat Modeling process and tool? What organizations would benefit from Threat Modeling? Is it for everyone?

Calculate descriptive statistics for the unit prices : Visually present data for the unit prices of Zara's products for the three different styles. Calculate descriptive statistics for the unit prices of Zara's products for the three different styles. Comments on the location, shape and variability of..

Define the management systems essential for organizations : Why is alignment of strategy, structure, and management systems essential for organizations to coordinate sustainability activities and to motivate employees? What is your organization doing to motivate you to work harder, longer, etc.?

Review the content of your selected journal article : Choose one main point from Week 2 Assignment Critical Reading and Outlining and review the Learning Resources related to summary and academic integrity.

User Account

All Pages