Question

You purchased a share of stock for $20. One year later you received $1 as a dividend and sold the share for $29. What was your holding-period return?

a. 45%.
b. 30%.
c. 5%.
d. 40%.
e. none of the above.

Answer 1

e. none of the above.

Step-by-step explanation:

Holding period return = ($1 + $29 - $20) / $20

Holding period return = 0.50

Holding period return = 50%