I do not know how can I figure out this from the online page. Could you help me

ID: 2805634 • Letter: I

Question

I do not know how can I figure out this from the online page. Could you help me please?

* Look up Apple (AAPL) at http://finance.yahoo.com/. Enter “AAPL” into the “Look Up” box. Use the ‘Historical Prices’ link on the left side of the page to find the “adjusted closing” price to answer the following questions.

If you bought 100 common shares on 5 Oct 2004 at the close of trading, how much did you pay in total (Use the “Adj Closing” price and ignore commissions)? $________________

If you sold all your shares on October 21, 2013 at the adjusted closing price, how much was: Your total capital gain? $______________

What was your total rate of return on your investment? ____________________%

What is your annualized rate of return on this stock (Assume you held it for 8.5 years in total)? ___________________%

Explanation / Answer

adjusted closing price on Oct 4 2004

2.52

adjusted closing price on Oct 21 2013

68.65

purchase price of shares in oct5 2004

no of shares*adjusted closing price

100*2.52

252

selling price of shares at Oct 21 2013

no of share* adjusted closing price

100*68.85

6885

capital gain = selling price-purchase price

6885-252

6633

rate of return on investment in %

(capital gain/purchase price)*100

(6633/252)*100

2632.143

annual rate of return

(fv/pv)^(1/n)-1

(6633/252)^(1/8.5)-1

46.92%