You have the following price for a stock for several recent years. Assume that the stock F year Begining of year price # of shares bought or sold 2005 $50 100 bought 2006 $55 50 bought 2007 $51 75 sold 2008 $54 75 sold What is the holding period return for each year? What is the geometric average return for the period? What is the dollar weighted return for the time period?
You have the following price for a stock for several recent years. Assume that the stock F year Begining of year price # of shares bought or sold 2005 $50 100 bought 2006 $55 50 bought 2007 $51 75 sold 2008 $54 75 sold What is the holding period return for each year? What is the geometric average return for the period? What is the dollar weighted return for the time period?
Chapter8: Analysis Of Risk And Return
Section: Chapter Questions
Problem 17P
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You have the following price for a stock for several recent years. Assume that the stock
F year Begining of year price # of shares bought or sold
2005 $50 100 bought
2006 $55 50 bought
2007 $51 75 sold
2008 $54 75 sold
- What is the holding period return for each year?
- What is the geometric average return for the period?
- What is the dollar weighted return for the time period?
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