Answer:
a) I will pick the shares and sell them ,as this will yield a better return 6,338 to 5,000
b) I will consider:
- the expectation on the stock price
- and the rate of return in the market
- at current price, it will yield 26.76%
Explanation:
100 shares x 63.38 = 6,338 cash bonus for shares
If the stocks should be retained for at least a year.
there are two components that will need consideration:
the expectation on the stock price
and the rate of return in the market
if we assume the stock will keep the same value then it will yield:
6,338 / 5,000 - 1 = 0.2676 = 26.76%
