Question

XYZ stock price and dividend history are as follows:

Year	Beginning-of-Year Price	Dividend Paid at Year-End
2010	$ 124	$ 4
2011	$ 135	$ 4
2012	$ 115	$ 4
2013	$ 120	$ 4

An investor buys six shares of XYZ at the beginning of 2010, buys another two shares at the beginning of 2011, sells one share at the beginning of 2012, and sells all seven remaining shares at the beginning of 2013.

To compute dollar-weighted return, prepare a chart of cash flows for the four dates corresponding to the turns

of the year for January 1, 2010, to January 1, 2013. (Enter your answer as an integer.

Negative amounts should be indicated by a minus sign.)

Date	Cash Flow (for the investor)
1/1/2012	?

Answer 1

	Qty of Shares
Period	Opening Balance (A)	Addition/Deletion (B)	Closing Balance (C=A+ B)	Cash Flow	Remarks
2010(Beg)	0	6	6	-744	6 shares purchased @ $ 124
2010(end)	6	0	6	24	Dividend received on 6 shares @ $4
2011(beg)	6	2	8	-270	2 shares purchased @ $ 135
2011(end)	8	0	8	32	Dividend received on 8 shares @ $4
2012(beg)	8	-1	7	115	1 share sold @ $ 115
2012(end)	7	0	7	28	Dividend received on 7 shares @ $4
2013(Beg)	7	-7	0	840	7 share sold @ $ 120
	Net Cash Flow			25