Chartered Financial Analyst Level 1
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An investor gathers the following information about a stock:
- Stock price at t=0:
$20
- Dividend paid at t=1:
$3
- Stock price at t=1:
$12
- Dividend paid at t=2:
$1
- Stock price at t=2:
$20
The investor purchased one unit of the stock at t=0 and sold it at t=2. If the dividends were not reinvested, the money-weighted rate of return is closest to:
An investor gathers the following information about a stock:
- Stock price at t=0:
$20 - Dividend paid at t=1:
$3 - Stock price at t=1:
$12 - Dividend paid at t=2:
$1 - Stock price at t=2:
$20The investor purchased one unit of the stock at t=0 and sold it at t=2. If the dividends were not reinvested, the money-weighted rate of return is closest to:
Exam-Like
A
10%.
B
15%.
C
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