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The return calculation is as under: (Closing Price of Share - Opening Price of share)+ Dividend _______________________________________________ Openinig Price of Share Putting your values: ((52-26)+6)/26 The holding period return in this case is 23.07%

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What is the strategy for selling put options before the ex-dividend date?

The strategy for selling put options before the ex-dividend date involves taking advantage of the drop in stock price that typically occurs after the dividend is paid out. By selling put options, you can potentially profit from this price decrease if the stock falls below the strike price of the option.


What is the difference between a dividend and a capital gain?

A dividend is a payment made by a company to its shareholders from its profits, while a capital gain is the profit made from selling an investment or asset for more than its purchase price.


What is the difference between capital gain and dividend?

Capital gain is the profit made from selling an investment or asset for more than its purchase price, while a dividend is a payment made by a company to its shareholders from its profits.


Anron corporation paid a dividend today of 3.50 per share and the dividend is expected to grow at a constant rate of 6 per year. If Anron stock is selling for 61.83 per share the stockholders' expecte?

To find the stockholders' expected return, we can use the Gordon Growth Model (Dividend Discount Model), which states that the expected return equals the dividend yield plus the growth rate. The dividend yield is calculated as the annual dividend divided by the stock price: ( \frac{3.50}{61.83} \approx 0.0566 ) or 5.66%. Adding the growth rate of 6% gives an expected return of approximately 11.66%.


A firm is paying an annual dividend of 2.65 for its preferred stock that is selling for 57.00. There is a selling cost of 3.30. What is the after-tax cost of preferred stock if the firm's tax rate is?

To calculate the after-tax cost of preferred stock, we first determine the cost of preferred stock before taxes. The formula is ( \text{Cost of Preferred Stock} = \frac{\text{Annual Dividend}}{\text{Net Proceeds}} ). The net proceeds are the selling price minus the selling cost, which is ( 57.00 - 3.30 = 53.70 ). Thus, the cost is ( \frac{2.65}{53.70} \approx 0.0493 ) or 4.93%. Since preferred dividends are not tax-deductible, the after-tax cost remains the same at approximately 4.93%.

Related Questions

How do companies give dividend to share holders. In the course of buying and selling who will become the dividend holder?

Anyone who buys it on this day will receive the div,idend, whereas any holders selling the stock lose their right to the dividend. After this date the stock becomes ex dividend. -Its in my view


What is the strategy for selling put options before the ex-dividend date?

The strategy for selling put options before the ex-dividend date involves taking advantage of the drop in stock price that typically occurs after the dividend is paid out. By selling put options, you can potentially profit from this price decrease if the stock falls below the strike price of the option.


How do you find out if you have dividends from sale of stock?

You do not get dividends from selling stocks. Either you get a profit by selling stocks or you get dividends by holding them. Anyways, to check if you have received a dividend, check the bank account that is linked to your share trading account. The money would have deposited in your account by online transfer (In 90% cases) If not, the money would reach you as a cheque or a draft within 10 days of dividend declaration.


What is the legal recuse when I received a Title policy when purchased land but not a clear title upon selling?

File a claim with your title insurance underwriter.


Do you have a title for a used Rockwood pop up camper?

We have a 2002 Rockwood pop-up camper which we bought used and are in the process of selling it. Should we have received a title when we purchased it in 2003?


The stock of North American Dandruff Company is selling at 80 per share the firm pays a dividend of 2 50 per share what is the dividend yield?

2.50/80.00 =0.03125 or 3.12


What is the difference between a dividend and a capital gain?

A dividend is a payment made by a company to its shareholders from its profits, while a capital gain is the profit made from selling an investment or asset for more than its purchase price.


What is the difference between capital gain and dividend?

Capital gain is the profit made from selling an investment or asset for more than its purchase price, while a dividend is a payment made by a company to its shareholders from its profits.


What is a person who applies for shares with a view to selling them immediately for a profit?

STAG


From where can an Olive Oyl costume be purchased?

An Olive Oyl costume can be purchased from various websites that specialize in the selling costumes, such as Amazon. It can also be purchased at your local Halloween store.


What are the ratings and certificates for Selling It - 1972?

Selling It - 1972 is rated/received certificates of: Sweden:15


Anron corporation paid a dividend today of 3.50 per share and the dividend is expected to grow at a constant rate of 6 per year. If Anron stock is selling for 61.83 per share the stockholders' expecte?

To find the stockholders' expected return, we can use the Gordon Growth Model (Dividend Discount Model), which states that the expected return equals the dividend yield plus the growth rate. The dividend yield is calculated as the annual dividend divided by the stock price: ( \frac{3.50}{61.83} \approx 0.0566 ) or 5.66%. Adding the growth rate of 6% gives an expected return of approximately 11.66%.