XYZ's stock price and dividend history are as follows: Year Beginning-of-Year Price Dividend Paid at Year-End 2018 $ 100
Posted: Thu Apr 28, 2022 2:00 pm
XYZ's stock price and dividend history are as follows: Year
Beginning-of-Year Price Dividend Paid at Year-End
2018 $ 100 $ 4
2019 120 4
2020 90 4
2021 100 4
An investor buys three shares of XYZ at the beginning of 2018,
buys another two shares at the beginning of 2019, sells one share
at the beginning of 2020, and sells all four remaining shares at
the beginning of 2021. a. What are the arithmetic and geometric
average time-weighted rates of return for the investor? (Round your
year-by-year rates of return and final answers to 2 decimal places.
Do not round other calculations.)
Beginning-of-Year Price Dividend Paid at Year-End
2018 $ 100 $ 4
2019 120 4
2020 90 4
2021 100 4
An investor buys three shares of XYZ at the beginning of 2018,
buys another two shares at the beginning of 2019, sells one share
at the beginning of 2020, and sells all four remaining shares at
the beginning of 2021. a. What are the arithmetic and geometric
average time-weighted rates of return for the investor? (Round your
year-by-year rates of return and final answers to 2 decimal places.
Do not round other calculations.)