You purchase a share of Boeing stock for $90.One year later,after receiving a dividend of $3,you sell the stock for $92.What was your holding-period return?
A)4.44%
B)2.22%
C)3.33%
D)5.56%
E)none of the above

Question

Quizplus · Accepted Answer

The holding-period return can be calculated using the formula:
Holding-Period Return = (Ending Price + Dividends - Beginning Price)/Beginning Price

Plugging in the numbers given:
(92 + 3 - 90)/90 = 5.56%

Therefore, the answer is D) 5.56%.

You Purchase a Share of Boeing Stock for $90