Required: Mr. James K. Silber, an avid international investor, just sold a share of Nestlé, a Swiss firm, for SF5,050. The share was bought for SF4,300 a year ago. The exchange rate is SF1.60 per U.S. dollar now and was SF1.84 per dollar a year ago. Mr. Silber received SF150.00 as a cash dividend immediately before the share was sold. Compute the rate of return on this investment in terms of U.S. dollars. Note: Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.

Required: Mr. James K. Silber, an avid international investor, just sold a share of Nestlé, a Swiss firm, for SF5,050. The share was bought for SF4,300 a year ago. The exchange rate is SF1.60 per U.S. dollar now and was SF1.84 per dollar a year ago. Mr. Silber received SF150.00 as a cash dividend immediately before the share was sold. Compute the rate of return on this investment in terms of U.S. dollars. Note: Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.

Entrepreneurial Finance

6th Edition

ISBN:9781337635653

Author:Leach

Publisher:Leach

Chapter15: Harvesting The Business Venture Investment

Section: Chapter Questions

Problem 1eM

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