Suppose you invested $58 in the Ishares Dividend Stock Fund? (DVY) a month ago. It paid a dividend of $0.80 today and then you sold it for $68. What was your return on the investment?
Return on Investment :
It is the ratio of net gain derived from an investment in relation to its cost, expressed in percentage form.
By investing in shares, return earned can be decomposed into two parts: Dividend and Capital Gain. Here, capital gain refers to increase in price during the holding period and is represented as difference between Selling Price and Purchase Price.
Answer and Explanation:
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fromChapter 25 / Lesson 6