A Stock Purchased for $52 Paid a Dividend of $1

question 39

Multiple Choice

A stock purchased for $52 paid a dividend of $1 six days after it was purchased.The stock was sold for $51 ninety days after it was purchased.What is the annualized rate of return? Assume the dividend was not reinvested.

• A) 3.9%
• B) 0.0%
• C) −7.7%
• D) 15.7%
• E) −15.7%

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Definitions:

Perception

The process of organizing and interpreting sensory information, enabling us to recognize meaningful objects and events.

Variables

Elements or factors that can be changed and measured within a scientific experiment.

Negative Correlation

A statistical relationship between two variables such that as one variable increases, the other decreases.

Psychological Disorder

Deviant, distressful, and dysfunctional patterns of thoughts, feelings, and actions.