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Mekhanik [1.2K]
3 years ago
13

One year ago, you purchased 500 shares of stock for $22 a share. The stock pays $0.32 a share in dividends each year. Today, you

sold your shares for $24.50 a share. What is your total dollar return on this investment?a. $1,250 b. $1,090 c. $1,199 d. $1,164
Business
1 answer:
galben [10]3 years ago
8 0

Answer:

no option is correct

long term capital gains = ($24.50 - $22) x 500 = $1,250

dividend income = $0.32 x 500 = $160

total return = $1,410

Maybe your teacher is asking about long term capital gains only. If that is the case, then option A. $1,250 is correct

Explanation:

total return = ending value - initial value + dividends received = (500 x $24.50) - (500 x $22) + (500 x $0.32) = $12,250 - $11,000 + $160 = $1,410

holding period return = (ending value - initial value + dividends received) / initial value = $1,410 / $11,000 = 0.1282 = 12.82%

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5 0
3 years ago
What is the difference between gross income, taxable income, and adjusted gross income?
melisa1 [442]

Answer:

Here is what I found, I hope it helps

Explanation:

Gross Income contains all money you earn that is not expressly removed from taxation under the Internal Revenue Code (IRC). The part of your gross income which is currently subjected to taxes is Taxable Income. To arrive at the number of Taxable Income, expenses are deducted from gross income. For a year, your Gross Income applies to all your pre-tax earnings, while your Adjusted Gross Income is mostly smaller and refers to your income after tax deductions. I could not find the difference between Adjusted Gross Income and Taxable Income.

6 0
3 years ago
Read 2 more answers
Purchasing marketable securities with cash will have no effect on a company's acid-test ratio.
slava [35]

Answer:

given statement is true

Explanation:

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because change by the cash to the marketable securities

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3 0
3 years ago
Levi's Levees always evaluates projects using the payback method. What is the payback period for the following set of cash flows
Ray Of Light [21]

Answer:

3.14 years

Explanation:

Year              Cash flow                Accumulated cash flows

0                    -$4,900                            -$4,900

1                       $1,150                             -$3,750

2                      $1,350                            -$2,400  

3                     $2,230                                -$170

4                     $1,250                              $1,080

3 years + $170/$1,250 = 3.14

The payback period is 3.14 years, or 3 years, 1 month and 19 days.

7 0
3 years ago
Human resources planning relevant to organizational productivity ​
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Answer:

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Human Resource planning is the foundation of a company's workforce talent. Employees are what make or break a company.

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