P4.3 Assuming you purchased a share of stock for $50 one year ago, sold it today for $60, and during the year received 3 dividend payments totaling $2.70, calculate the following.

Question

a. Income b. Capital gain (or loss) c. Total return
(1) In dollars (2) As a percentage of the initial investmen

Answer 1

Income: $2.70 -- 5.4%
Capital gain: $10 -- 20%
Total return: $12.70 -- 25.4%

Answer 2

GOOD