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V125BC [204]
3 years ago
5

You purchased 1,350 shares of stock in Natural Chicken Wings, Inc., at a price of $43.58 per share. Since you purchased the stoc

k, you have received dividends of $1.09 per share. Today, you sold your stock at a price of $47.76 per share. What was your total percentage return on this investment
Business
1 answer:
zmey [24]3 years ago
4 0

Answer:

12.09%

Explanation:

The computation of the total percentage return on this investment is shown below:

= {(Sale price of the stock - purchase price of stock + dividend received per share) ÷ purchase price of stock) × 100

= {($47.76 - $43.58 + $1.09 ) ÷ $43.58} × 100

= ($5.27 ÷ $43.58 ) × 100

= 12.09%

We simply applied the above formula so that the total percentage return on this investment could come

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A 30-year zero coupon bond with a face value of $5,000 is currently selling for $1,156.88 and has a market rate of interest of 5
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Answer:

Price will increase by $277.58

Explanation:

Market rate of Interest of a zero coupon bond can be determined by following formula

Market Rate of Interest = [ ( F / P )^(1/30) ] - 1

4.25% = [ ( $5000 / P )^(1/30) ] - 1

0.0425 + 1 = ( $5000 / P )^1/30

( 1.0425 )^30 = (( $5000 / P )^1/30)^30

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P = $1,434.46

Now Calculate the change in Price

Change in price = $1,434.46 - $1,156.88 = $277.58

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