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uranmaximum [27]
4 years ago
7

You purchased GARP stock one year ago at a price of $67.67 per share. Today, you sold your stock and earned a total return of 18

.79 percent. The stock paid dividends of$2.92 per share over the year. What was the capital gains yield on your investment
Business
1 answer:
Svetlanka [38]4 years ago
7 0

Answer:

14.48%

Explanation:

The capital gains yield on the investment is increase in share price divided by the initial price paid to acquire the share a year ago.

The total return formula can be used to figure the price the stock was when sold as below:

total return =P1-Po+D/Po

P1 is the current price which is unknown

Po is the initial price of $67.67

total return is 18.79%

D is the dividend of $2.92

0.1879=P1-67.67+2.92/67.67

0.1879*67.67=P1-64.75

12.72=P1-64.75

P1=12.72+64.75

P1=77.47

Capital gains yield=(77.47 -67.67)/67.67=14.48%

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Kendall Corners Inc. recently reported net income of $3.1 million and depreciation of $500,000. What was its net cash flow?
podryga [215]

Answer:

Net cashflow = Net income + Depreciation

Net cashflow = 3,100,000 + 500,000 = 3,600,000 dollars

Explanation:

Net cashflow equals net income plus depreciation.

3 0
3 years ago
Which of the following accurately describes the process of currency
DIA [1.3K]

Answer:

C. Money from one country is bought using money from another

Explanation:

A currency exchange is seen as a type of business that has the right to exchange one currency for another to its customers or between two or.more different countries. Although the right to exchange this currency are often legal.

Therefore doing CURRENCY EXCHANGE the exchange rate is often how much of a country's currency have to buys another foreign currency which is why for some countries, exchange rates tend to constantly change while some countries tend to use a fixed exchange rate which does not often change .

Hence CURRENCY EXCHANGE enables money from one country to be bought using money from another.

6 0
3 years ago
As part of its risk management strategy, Copper Monkey Mining sells futures contracts to hedge changes in fair value of its inve
tankabanditka [31]

Answer:

In the March 31 statement of financial position, the company should record the futures contracts as a  loss and liability of $100,000

Explanation:

GAAP specifies that all derivatives instrument and hedging activities recorded  in the balance sheet are assets and liabilities and measured at fair value.

At the starting of the futures contracts, the fair value is $0 since the prices of the future contract was entered at that date.

Given that 200 futures contracts was sold at the commodity exchange foo $$0.83/lb and each contract was for 25,000 lb. Therefore a fair value hedge of 5 million lb. (25,000 lb. × 200 contracts) of copper at $0.83/lb is expected to be delivered.

The price had risen to $0.85/lb at the date of the financial statements, Copper Monkey should record a loss and liability = (5 million lb) × ($0.83 – $0.85) = 5000000 × 0.02 = 100000

Copper Monkey should record a loss and liability of $100,000

5 0
3 years ago
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s2008m [1.1K]

Answer:

market penetration:

Explanation:

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it is calculated by determining the total amount of product sales in the market compared to goal of selling products in the market.

it involves all process that is needed to promote or to grow the market percentage in a particular business.

it is calculated as

market penetration= \frac{market\ covered}{target\ market} \times 100

7 0
4 years ago
Good morning/afternoon?
Tanzania [10]

Answer:

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have a good day :)

Explanation:

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