Question
In: Finance
An investor buys some shares of ABC for $20 at the beginning of the year. During...
An investor buys some shares of ABC for $20 at the beginning of the year. During the year he receives $0.50 in dividends, and then sells the shares for $21 at the end of the year. What is the total return on this investment?
Solutions
Expert Solution
Total return on investment=(Selling price + Dividend -Buying price)/ buying price)*100
= ((21+.5-20)/20)*100
= (1.5/20)*100
= 7.5%
Overall return which has been made by investor is 7.5 %.
jeff jeffy answered 2 years agoRelated Solutions
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