What is annualized holding period return

Assignment Help Financial Management
Reference no: EM131599778

You purchased 300 shares of General Electric stock at a price of $69.58 four years ago. You sold all stocks today for $78.95. During that period the stock paid dividends of $3.45 per share. What is your annualized holding period return (annual percentage rate)? Round the answers to two decimal places in percentage form. (Write the percentage sign in the "units" box)

Reference no: EM131599778

Questions Cloud

Unequal lives-using the replacement chain approach : The Perez Company has the opportunity to invest in one of two mutually exclusive machines. Using the replacement chain approach to project analysis,
What is their average tax rate and federal tax liability : Susan and Stan Britton are a married couple who file a joint income tax return, What is their federal tax liability? What is their average tax rate?
What is mary effective annual rate : Mary purchased 100 shares of Sweet Pea Co. stock at a price of $42.66 six months ago. What is Mary’s effective annual rate?
How much will you pay for the company stock today : Metroplex Corporation will pay a $3.04 per share dividend next year. how much will you pay for the company's stock today?
What is annualized holding period return : During that period the stock paid dividends of $3.45 per share. What is your annualized holding period return (annual percentage rate)?
Side effects affect capital budgeting decisions : How are opportunity costs and side effects affect capital budgeting decisions? What is the minimum bid price they can quote on this project?
Security market line showing expected : Following up on the above, draw the security market line showing the expected and required rates of return.
Consider the real estate market an efficient capital market : What are the implications to corporate finance? Would you consider the real estate market an efficient capital market?
Some of the weaknesses of the irr method over the npv method : Explain some of the weaknesses of the IRR method over the NPV method.

Reviews

Write a Review

Financial Management Questions & Answers

  Relate to the airlines overall business strategy

Discuss how successful airlines acknowledge different pricing strategies as they relate to the airline's overall business strategy. Provide an example(s). If possible exclude Southwest airlines in your discussion.

  Assume the before-tax component costs of equity

Assume the before-tax component costs of equity, preferred stock, and debt are 14.5 percent, 11.0 percent, and 9.5 percent,

  Projected interest expense

Mullen Company reports in its 2014 10-K, sales of $83 million, long-term debt of $9 million, and interest expense of $720,000. If sales are projected to increase by 5.2% next year, projected interest expense for 2014 will be

  What is the expectations trap

What is the expectations trap? If people thought that the central bank was likely to raise the inflation rate to 3 percent from 2 percent, how might that lead to an expectations trap?

  Effect on its leverage ratio compared to the start of year

A company has made a profit for the year. Which of the following company actions will have no effect on its Leverage ratio compared to the start of the year?

  What is the present value of the depreciation tax savings

By how much would that number change if the firm could treat the $2-million installation cost as a deductible expense rather than include it as part of the depreciable cost of the asset?

  New firm in rapidly growing industry

The Bell Weather Co. is a new firm in a rapidly growing industry. The company is planning on increasing its annual dividend by 15% a year for the next four years and then decreasing the growth rate to 5% per year. The company just paid its annual div..

  Calculate the after tax cash flow

Johnson purchases an asset for $15763. This asset qualifies as a seven-year recovery asset under MACRS. The seven-year fixed depreciation percentages for years 1, 2, 3, 4, 5, and 6 are 14.29%, 24.49%, 17.49%, 12.49%, 8.93%, and 8.93%, respectively. J..

  How much should you charge for the option

You own a lot in Key West, Florida, that is currently unused. Similar lots have recently sold for $1,290,000. Over the past five years, the price of land in the area has increased 5 percent per year, with an annual standard deviation of 34 percent. H..

  What is the difference between the expected return on equity

Southwest Physicians, a medical group practice in Oklahoma City, is just being formed. It will need $2 million of total assets to generate $3 million in revenues. Furthermore, the group expects to have a total margin of 5 percent. what is the differe..

  What is the value of rolens preferred stock

Several years ago, Rolen Riders issued preferred stock with a stated annual dividend of 10% of its $100 par value. Preferred stock of this type currently yields 8%. Assume dividends are paid annually. What is the value of Rolen's preferred stock?

  Discuss the elements of zero-base budgeting

Discuss the elements of zero-base budgeting. How does it work? What are the advantages and disadvantages of zero-base budgeting? Provide a real-life example of a user of this type of budgeting.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd