1.An investor buys shares of a firm at $10.00. A year later she receives a dividend of $0.96 and sells the shares at $9.00. What is her holding period return on this investment?

A)   -0.8%.

B)   -0.4%.

C)   +1.2%.

D)   -0.6%.

2.An investor projects the price of a stock to be $16.00 in one year and expected the stock to pay a dividend at that time of $2.00. If the required rate of return on the shares is 11 percent, what is the current value of the shares?

A)   $14.11.

B)   $15.28.

C)   $16.96.

D)   $16.22.

3.An investor computes the current value of a firm’s shares to be $34.34, based on an expected dividend of $2.80 in one year and an expected price of the share in one year to be $36.00. What is the investor’s required rate of return on this investment?

A)   10%.

B)   13%.

C)   11%.

D)   123%.

答案和详解如下：

1.An investor buys shares of a firm at $10.00. A year later she receives a dividend of $0.96 and sells the shares at $9.00. What is her holding period return on this investment?

A)   -0.8%.

B)   -0.4%.

C)   +1.2%.

D)   -0.6%.

The correct answer was B)

The holding period return = ( $0.96 + $9.00 / $10.00 ) – 1 = –0.004 or –0.4%

2.An investor projects the price of a stock to be $16.00 in one year and expected the stock to pay a dividend at that time of $2.00. If the required rate of return on the shares is 11 percent, what is the current value of the shares?

A)   $14.11.

B)   $15.28.

C)   $16.96.

D)   $16.22.

The correct answer was D)

The value of the shares = ($16.00 + $2.00) / (1 + 0.11) = $16.22

3.An investor computes the current value of a firm’s shares to be $34.34, based on an expected dividend of $2.80 in one year and an expected price of the share in one year to be $36.00. What is the investor’s required rate of return on this investment?

A)   10%.

B)   13%.

C)   11%.

D)   123%.

The correct answer was B)

The required return = [($36.00 + $2.80) / $34.34 ] – 1 = 0.13 or 13%.