Answer:
The return on investment was 9.38%
Explanation:
Data provided in the question:
Amount invested in dividend stock = $60
Dividend received = $0.63
Amount for which dividend was sold = $65
Now,
The total return from the dividend
= (Selling cost + Dividend received ) - Amount invested
= $65 + $0.63 - $60
= $5.63
Therefore,
The return on investment = [ (Total return ) ÷ Amount invested ] × 100%
= [tex]\frac{\$5.63}{\$60}[/tex] × 100%
= 9.38%
Hence,
the return on investment was 9.38%
