Suppose a stock had an initial price of $60 per share, paid a dividend of $2.20 per share during the year, and had an ending share price of $49. Compute the percentage total return. (Negative amount should be indicated by a minus sign. Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Total return % What was the dividend yield and the capital gains yield? (Negative amounts should be indicated by a minus sign. Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.)

Respuesta :

Answer:

ROI -14.6667%

Explanation:

60 beginning

2.2 dividends

49 ending

Return on Investment: result/investment

result: dividend yield + capital gains

dividends 2.2 gain

ending - beginning = capital gain/loss

49 - 60 = -11 loss

2.2 -11 = -8.8 loss

-8.8/60 = -14.6666666%

Our investment decrease by $8.8 the result was -14.6667%