Question

In: Finance

You invested 10,000 in Netflix on July 27th and need to calculate your return on investment...

You invested 10,000 in Netflix on July 27th and need to calculate your return on investment on September 17th. The stock price on July 27th was 495.65 and the price on September 17th was 470.20. Calculate investment return both in dollars and percentage.

Solutions

Expert Solution

Investment Returns in:

A. Dollars: -$513.47

B. Percentage: -5.13%

NOTE: The answer is based on the assumption that the whole $10000 was invested. In reality, only 20 shares could've been bought and therefore only $9913 could have been invested.

NOTE: The various Demat Account charges are not taken into consideration.


Related Solutions

a) You invest $10,000. What annual return do you need to grow this investment to $20,000...
a) You invest $10,000. What annual return do you need to grow this investment to $20,000 over 19 years? Answer in percent, rounded to one decimal place. Don't include the % symbol in your answer. b) You own a 28-year, 4.1% annual coupon bond with $1,000 face value. If the yield to maturity is 5%, how much is it worth? Round to the nearest cent. c) If you take out an amortized loan of $27,000 with a 7 year term...
If you invested $10,000 in an investment account and you expect it to double in 4...
If you invested $10,000 in an investment account and you expect it to double in 4 years, what interest rate must it earn? What is the future value of a 5-year ordinary annuity of $1000 if the appropriate interest rate is 5%? What is the present value of the annuity? What is the future value of $1000 after 4 years under 10% annual compounding? Semiannual compounding? Quarterly compounding? Monthly compounding? Daily compounding What is the effective annual rate (EAR or...
10 years ago you invested $1,000. If your investment is worth $6,000 now, what was your rate of return?
10 years ago you invested $1,000. If your investment is worth $6,000 now, what was your rate of return?Multiple Choicea. 17.46% +/- 1.00%b. 10.74% +/- 1.00%c. 13.12% +/- 1.00%d. 19.62% +/- 1.00%
Your investment club has only two stocks in its portfolio. $10,000 is invested in a stock...
Your investment club has only two stocks in its portfolio. $10,000 is invested in a stock with a beta of 0.5, and $75,000 is invested in a stock with a beta of 1.5. What is the portfolio's beta? Round your answer to two decimal places. Required Rate of Return AA Corporation’s stock has a beta of 1.1. The risk-free rate is 2.5% and the expected return on the market is 11%. What is the required rate of return on AA's...
Suppose you opened a new account and invested $10,000 in your asset in the beginning of...
Suppose you opened a new account and invested $10,000 in your asset in the beginning of 2014, that on June 30, 2016 you invested an additional $5,000, and that on January 31, 2017 you withdrew $2,000.   If there were no other cash flows coming into or out of the account, what was the dollar balance at the end of 2018 (yes, do include the effect of the return earned during December 2018)? Rate of return -0.88
calculate #3 return on investment
ART I: STOCK VALUATION                   Dividend from Financial Statements:               Read the Explanations to the right of the calculation cells for specific information on the data.                   Year Cash Div/share ($) Dividend Yield Stockholder's Equity (in millions) Stock Price         2015 2.92 3.00% 2,491 97.33333333         2016 3.12 2.70% 429 115.5555556  ...
Your investment portfolio consists of $10,000 shares of Dell. The expected return on Dell is 11%,...
Your investment portfolio consists of $10,000 shares of Dell. The expected return on Dell is 11%, with a standard deviation (volatility) of 43%. Suppose the risk-free rate is 4%, the expected return on the market is 9% and the volatility of the market is 18%. a) Find a portfolio on the Capital Market Line has the same expected return as Dell. What is the volatility of that portfolio? What mix of the market portfolio and the risk-free asset would give...
You are analyzing an investment opportunity for your firm. The investment will cost $10,000 to undertake...
You are analyzing an investment opportunity for your firm. The investment will cost $10,000 to undertake and will produce a cashflow of $2000 at the end of every year for the next 6 years. What is the internal rate of return? Select one: a. About 4% b. About 4.5% c. About 5% d. About 5.5% e. None of the above.
If you invested $5,000 into an ETF, what do you think your return would be in...
If you invested $5,000 into an ETF, what do you think your return would be in 5 years?
The total value of your portfolio is $10,000: $3,000 of it is invested in Stock A...
The total value of your portfolio is $10,000: $3,000 of it is invested in Stock A and the remainder invested in Stock B. Stock A has a beta of 0.8; Stock B has a beta of 1.2. The risk premium on the market portfolio is 8%; the risk-free rate is 2%. Additional information on Stocks A and B is provided below. Return in Each State State Probability of State Stock A Stock B Excellent 15% 15% 5% Normal 50% 9%...
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT