Expected return on stock investment, Finance Basics

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Expected return on stock investment

You are considering the purchase of a share of stock in a firm for $40. The company is expected to pay a $2.50 dividend at the end of the year, and its market price after the payment of the dividend is expected to be $45 a share. What is the expected return on the investment in this stock?

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Finance Basics: Expected return on stock investment

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Finance Basics: Expected return on stock investment

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Recent Questions Asked Finance Basics

Q : Question regarding beta and stock valuation

Q : Question about the stock valuation

Q : How portfolio made of equal proportions in gold do by mean

Q : Find default spread charge for the debt in firm

Q : Expected return on stock investment

Q : Question-expected return on stock investment

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Request for Solution File

Ask an Expert for Answer!!

Finance Basics: Expected return on stock investment

Reference No:- TGS0557528

Recent Questions Asked Finance Basics

Q : Question regarding beta and stock valuation

Q : Question about the stock valuation

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Q : Find default spread charge for the debt in firm

Q : Expected return on stock investment

Q : Question-expected return on stock investment

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