If a stock is purchased at $35, sold at $30, and pays a dividend of $6, what is the return on the stock?

Multiple choice question for World Stock Markets. Select an option, then review the explanation below.

Explanation

The return on the stock is calculated as (Dividend + Selling Price - Purchase Price) divided by Purchase Price. Here, (6 + 30 - 35) / 35 = 1 / 35 = 0.3667.

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If a stock is purchased at $35, sold at $30, and pays a dividend of $6, what is the return on the stock?

Explanation

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