Question

Two years ago, you purchased 100 shares of General Mills Corporation. Your purchase price was $42 a share, plus a total commission of $29 to purchase the stock. During the last two years, you have received the following dividend amounts: $1.92 per share for the first year and $1.96 per share the second year. Also, assume that at the end of two years, you sold your General Mills stock for $49 a share minus a total commission of $34 to sell the stock.

**(a)**
Calculate the dividend yield for your General Mills stock at the
time you purchased it. **(Enter your answer as a percent
rounded to 2 decimal places.)**

Dividend Yield at Purchase: %

**(b)**
Calculate the dividend yield for your General Mills stock at the
time you sold it. **(Enter your answer as a percent rounded
to 2 decimal places.)**

Dividend Yield at Sale: %

**(c)** Calculate the total return for your General
Mills investment when you sold the stock at the end of two years.
**(Do not round intermediate calculations. Round your final
answer to the nearest whole number.)**

Total Return:

**(d)** Calculate the annualized holding period
yield for your General Mills investment at the end of the two-year
period. **(Do not round intermediate calculations. Enter your
answer as a percent rounded to 2 decimal places.)**

Annualized Holding Period Yield: %

Answer #1

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