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You own 300 shares of Western Feed Mills stock valued at $27.54 per share. What

ID: 2693832 • Letter: Y

Question

You own 300 shares of Western Feed Mills stock valued at $27.54 per share. What is the dividend yield if your annual dividend income is $342?

8.1 percent

3.4 percent

4.9 percent

4.1 percent

6.4 percent


Four months ago, you purchased 1,200 shares of Lakeside Bank stock for $16.96 a share. You have received dividend payments equal to $.66 a share. Today, you sold all of your shares for $17.96 a share. What is your total dollar return on this investment?

$1,992

$792

$1,200

$1,584

$3,984

Last year, you purchased a stock at a price of $51.5 a share. Over the course of the year, you received $2 in dividends and inflation averaged 2.7 percent. Today, you sold your shares for $54.5 a share. What is your approximate real rate of return on this investment?

3.5 percent

12.2 percent

9.7 percent

12.4 percent

7.0 percent

8.1 percent

3.4 percent

4.9 percent

4.1 percent

6.4 percent

Explanation / Answer

6.4 percent $1,992 12.4 percent

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