If a Stock Is Purchased for $25 Per Share and Held

question 14

Multiple Choice

If a stock is purchased for $25 per share and held one year, during which time a $3.50 dividend is paid and the price climbs to $28.25, the nominal rate of return is:

• A)13.00 percent.
• B)14.00 percent.
• C)23.01 percent
• D)27.00 percent.

Recognize the global nature of modern supply chains and the implications of globalization on production.

Comprehend how enterprise resource planning (ERP) systems integrate various aspects of a business.

Understand the use of big data in monitoring and improving supply chain performance.

Understand the uses of different types of accounting journals and their applications in transactions.

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Definitions:

Dividends

Payments made by a corporation to its shareholder members, distributing a portion of the company's earnings.

Owners

Individuals or entities that possess legal rights and control over a business or asset.

Public Corporation

A Public Corporation is a company that has issued securities through an initial public offering (IPO) and is traded on at least one stock exchange or in the over-the-counter market.

Shares

Shares represent units of ownership in a company, held by individuals or entities, entitling them to a portion of the corporation's assets and profits.