Question

Fedex Corporation stock ended the previous year at $855.00 per share. It paid a $41.00 per share dividend last year. It ended last year at $845.00. What was the change in the stock price from the beginning to the end of the year?

1) $10.00 increase
2) $10.00 decrease
3) $41.00 increase
4) $41.00 decrease

Answer 1

The stock price of FedEx Corporation decreased by $10.00 from the beginning to the end of the year. The dividend payment is separate and does not affect this calculation.

Step-by-step explanation:

To find the change in the stock price for FedEx Corporation from the beginning to the end of the year, we subtract the ending price from the beginning price.

Beginning price: $855.00 per share

Ending price: $845.00 per share

Change in stock price = Ending price - Beginning price

Change in stock price = $845.00 - $855.00

Change in stock price = -$10.00

A negative value indicates a decrease in the stock price. Therefore, the stock price fell by $10.00 decrease from the beginning to the end of the year. The dividend of $41.00 per share is separate from the change in stock price and affects the total return rather than the stock price change.