What are the dividend yield and percentage capital gain

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Reference no: EM133006690

Problem - A stock is selling today for $50 per share. At the end of the year, it pays a dividend of $3 per share and sells for $56.

Required -

a. What is the total rate of return on the stock?

b. What are the dividend yield and percentage capital gain?

c. Now suppose the year-end stock price after the dividend is paid is $48. What are the dividend yield and percentage capital gain in this case?

Reference no: EM133006690

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