Answer:
rate of return = 12.50%
Explanation:
given data
stock = $60 each
stock price = $66
paid dividend = $1.50 per share
to find out
rate of return
solution
first we get here total return that is express as
total return = stock price - stock + paid dividend .................1
total return = $66 - $60 + $1.5
total return = $7.5
so now rate of return will be here as
rate of return = [tex]\frac{total\ return}{stock}[/tex]
rate of return = [tex]\frac{7.5}{60}[/tex] × 100
rate of return = 12.50%
