If a Stock Is Purchased for $30 a Share and Pays

question 43

Essay

If a stock is purchased for $30 a share and pays $5 per share in dividends a year,what selling price at the end of the year would result in a return of 50%?
(a)$60
(b)$40
(c)$35
(d)$15

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Definitions:

Preferences

User-selected settings or choices within a software or system that customize its use or appearance.

Owner's Equity

The residual interest in the assets of a business after deducting liabilities, representing the owner's claim on the company's resources.

Non-posting Account

An account used in bookkeeping for recording transactions that will not affect the financial statements until a later transaction completes the process.

Purchase Orders Account

This refers to a specific ledger or account setup within an accounting system to track purchase orders issued to suppliers.