What is angela after-tax holding period return

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On February 19, 2004, Angela purchased 100 shares of ABC stock at a total cost of $1,712.50. She received a total of $125.00 in dividends and sold the stock today, February 22, 2005. Her net proceeds from the sale are $1,892.40. Angela has a combined state and federal marginal tax rate of 32%. Her combined state and federal tax rate on both her capital gains in excess of one year and her dividend income is 18%. What is Angela's after-tax holding period return on her investment in ABC stock?

A) 11.0%
B) 12.1%
C) 13.2%
D) 14.6%

 

Reference no: EM13291737

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