A stock has had the following year-end prices and dividends: Year Price Dividend $ 43.31 48.29 1 2 $.51 3 57.21 .54 4 45.29 .60 52.21 .65 6. 61.29 .73 What are the arithmetic and geometric returns for the stock? (Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.) Arithmetic return % Geometric return %

Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter16: Financial Statement Analysis
Section: Chapter Questions
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A stock has had the following year-end prices and dividends:
Year
Price
Dividend
1
$ 43.31
48.29
$.51
57.21
.54
45.29
52.21
4
.60
.65
61.29
.73
What are the arithmetic and geometric returns for the stock? (Do not round
intermediate calculations and enter your answers as a percent rounded to 2 decimal
places, e.g., 32.16.)
Arithmetic return
%
Geometric return
%
Transcribed Image Text:A stock has had the following year-end prices and dividends: Year Price Dividend 1 $ 43.31 48.29 $.51 57.21 .54 45.29 52.21 4 .60 .65 61.29 .73 What are the arithmetic and geometric returns for the stock? (Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.) Arithmetic return % Geometric return %
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