Question

Calculating Total Return. Tammy Jackson purchased 100 shares of All-American Manufacturing Company stock at $31.50 a share. One year later, she sold the stock for $38 a share. She paid her broker a $28 commission when she purchased the stock and a $42 commission when she sold it. During the 12 months she owned the stock, she received $160 in dividends. Calculate Tammy’s total return on this investment. (Obj. 1)

Answer 1

Answer:

$20.50

Explanation:

She paid: $31.50+ $28= $59.50

Return: $38+ $42= $80

So, $80- $59.50= $20.50