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Tom purchased 100 shares of dalia co stock at a price of

Finance: HPR, Annualized holding period return, Effective annual rate on investment

Question

Tom purchased 100 shares of Dalia Co. stock at a price of $123.47 four months ago. He sold all stocks today for $125.23. During the year the stock paid dividends of $7.44 per share. What is Tom's effective annual rate?

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Finance Basics: Tom purchased 100 shares of dalia co stock at a price of

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