Question
Asked Nov 5, 2019
Suppose a stock you bought one year ago at $102.65 recently paid you a dividend of $3.17. You sold
the stock today for $104.00. What is your holding period return (HPR) in both decimal and % form
1.
(Sales Price Purchase Price) + Dividends
HPR
Purchase Price
% format
Or in
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Suppose a stock you bought one year ago at $102.65 recently paid you a dividend of $3.17. You sold the stock today for $104.00. What is your holding period return (HPR) in both decimal and % form 1. (Sales Price Purchase Price) + Dividends HPR Purchase Price % format Or in

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Step 1

Holding period return can be defined as the total return generated over from a security over a particular time period.

The formula to calculate the holding period return is given below:

(Sale price - Purchase price)+Dividend
Purchase price
Holding period return
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(Sale price - Purchase price)+Dividend Purchase price Holding period return

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Step 2

Substitute $102.65 for purchase price, $3.17 for divide...

($104-$102.65) + $3.17
Holding period return
$102.65
$4.52
11
$102.65
=0.044 or 4.40%
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($104-$102.65) + $3.17 Holding period return $102.65 $4.52 11 $102.65 =0.044 or 4.40%

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