On January 1,Year 1 You Bought 100 Shares of Universal

question 51

Multiple Choice

On January 1,Year 1 you bought 100 shares of Universal Exports Inc.It is now January 1 of Year 2.You have recorded stock price and dividend information for Universal in the table,below.You want to calculate your return on the investment.After digging through your records you realize that Universal executed a 3-for-1 stock split late in Year 1.Use this information to adjust the data in the table and calculate the split-adjusted annual return on the investment in Universal shares.
Selected Financial Data
Universal Exports Inc.

• A) -30%
• B) 100%
• C) 103%
• D) 110%
• E) 200%

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Definitions:

License Fees

Charges paid for the authorization to use intellectual property or for the right to operate under certain regulations.

Limited And Bundled Choice Problem

A situation in which consumers' options are restricted or pre-selected in packages, potentially influencing their preferences or decisions.

Principal-Agent Problem

A dilemma in economics that occurs when one person or entity (the agent) is able to make decisions on behalf of, or that impact, another person or entity (the principal), leading to potential conflicts of interest.

Rent-Seeking Behavior

The practice of manipulating public policy or economic conditions as a strategy to increase personal incomes without adding value.