A year ago, the Very Large Growth Fund was being quoted at an NAV of $20.86 and an offer price of $21.73. Today, it's being quoted at $22.53 (NAV) and $23.47 (offer). What is the holding period return on this load fund, given that it was purchased a year ago and that its dividends and capital gains distributions over the year have totaled $0.96 per share? Assume that none of the dividends and capital gains distributions are reinvested into the fund. (Hint: You, as an investor, buy fund shares at the offer price and sell at the NAV.)
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- An ETF tracks an index that has enjoyed an 11% growth in the past year. If you bought the ETF and it charged you a front-load fee of 50 basis points and had another 50 basis points MER for funds under management at the beginning of the year, what would be your total return by buying the ETF and holding it for this past year?The Vanguard Windsor II mutual fund had a net asset value of $15.07 at the beginning of 1992 and $24.04 at the beginning of 1997. What was the approximate (rounded up nearest %) average annual growth rate in this measure over this period? A)8% B)60% C)10% D)18% E)15%One year ago, you bought a stock for $50.39 a share. You received a dividend of $2.97 per share last month and sold the stock today for $49.58 a share. What is the capital gains yield (in percent) on this investment? Correct pls.
- Suppose you invested $100 in the Ishares High Yield Fund (HYG) a month ago. It paid a dividend of $4 today and then you sold it for $100. What was your dividend yield and capital gains yield on the investment? O A. 3%, 4% OB. 2%, 4% OC. 0%, 4% O D. 4%, 0%5. An analyst estimates that XYZ's earnings will grow from $13.00 a share to $18.84 per share over the next eight years. The rate of growth in XYZ's earnings is closest to: A. 4.75%. B. 4.82%. C. 4.92%. 6. If $15,000 is invested in a fund offering an APR of 20% quarterly compounded, approximately how many years will it take for the investment to reach $71,800? A. 8 years. B. 10 years. C. 11 years. Please provide an accurate answer.One year ago, you brought a stock for $37.25 per share. You received a dividend of $1.27 per share last month and sold the stock today for $39.75 per share. What is the capital gains yield on this investment? Can the calculator and excel solution be provided?
- You are considering a purchase of NotSoGreat Company Inc.’s stock, currently available on the NYSE for $70 a share. You have calculated that for this investment the required rate of return is 11.3% and the past dividends were growing in accordance with the GDP growth. The economy is expected to grow 2.5% in the foreseeable future. The latest dividend was $5 per share. How much is the stock worth? To calculate the present value of a company with a dividend policy with stable growth, you can use the Gordon Model, which states that: One share of the NotSoGreat Company is worth $58.24, which is less than the current market price of $70. In this case, you decide not to invest. Questions: You are considering a purchase of UnderDog Inc.’s stock, currently available on the NYSE for $105 a share. You have calculated that for this investment the required rate of return is 11.3% and the past dividends were growing in accordance with the GDP growth. The economy is expected to grow 2.0% in the…Today, you sold your Riot Blockchain, Inc stock (ticker: RIOT) for $54.5/share. Last year, you paid $51.5/share for that stock. During the year, RIOT paid you $2/share in dividends. If inflation averaged 2.8% during the year, your approximate real rate of return on the RIOT investment is: a. 12.5 percent b. 9.7 percent c. 12.2 percent d. 3.5 percent e. 6.9 percentThe Duo Growth Company just paid a dividend of $1 per share. The dividend is expected to grow at a rate of 25% per year for the next three years and then to level off to 5% per year forever. You think the appropriate market capitalization rate is 20% per year.a. What is your estimate of the intrinsic value of a share of the stock?b. If the market price of a share is equal to this intrinsic value, what is the expected dividend yield?c. What do you expect its price to be one year from now?d. Is the implied capital gain consistent with your estimate of the dividend yield and the market capitalization rate?
- The FI Corporation’s dividends per share are expected to grow indefinitely by 5% per year.a. If this year’s year-end dividend is $8 and the market capitalization rate is 10% per year, what must the current stock price be according to the DDM?b. If the expected earnings per share are $12, what is the implied value of the ROE on future investment opportunities?c. How much is the market paying per share for growth opportunities (i.e., for an ROE on future investments that exceeds the market capitalization rate)?The FI Corporation's dividends per share are expected to grow indefinitely by 5% per year. a. If this year's year-end dividend is $8 and the market capitalization rate is 10% per year, what must the current stock price be according to the DDM? b. If the expected earnings per share are $12, what is the implied value of the ROE on future investment opportunities? c. How much is the market paying per share for growth opportunities (i.e., for an ROE on future investments that exceeds the market capitalization rate)?Assume that a share of stock has just paid an annual dividend of $3.00 (Do), and that this dividend is expected to grow by $0.07 in each future year (i.e., $3.07 in Year 1, $3.14 in Year 2, $3.21 in Year 3, etc.). Also assume that investors require a 15.0 percent rate of return. Given this information, and using the Banko growth model, determine what the current price of this stock should be. Answer in XX.XX format, with no dollar sign. For example, if your answer is $18.29, enter "18.29".