A stock has had the following year-end prices and dividends: Price $ 64.23 71.10 Year 123456 2 76.90 63.17 72.91 78.75 Dividend $.58 .63 .69 .78 .85 What are the arithmetic and geometric returns for the stock? Note: Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.

Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter16: Financial Statement Analysis
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A stock has had the following year-end prices and dividends:
Price
$64.23
Year
1234 in 10
5
6
71.10
76.90
63.17
72.91
78.75
Dividend
$.58
.63
.69
.78
.85
What are the arithmetic and geometric returns for the stock?
Note: Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g.,
32.16.
Arithmetic average return
Geometric average return
5.90 %
%
Transcribed Image Text:A stock has had the following year-end prices and dividends: Price $64.23 Year 1234 in 10 5 6 71.10 76.90 63.17 72.91 78.75 Dividend $.58 .63 .69 .78 .85 What are the arithmetic and geometric returns for the stock? Note: Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16. Arithmetic average return Geometric average return 5.90 % %
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