You bought 600 shares of stock at $24.20 each.At the end of the year,you received a total of $720 in dividends,and your stock was worth a total of $15,678.What was your total dollar capital gain and total dollar return?
A)$1,878; $2,598
B)$1,878; $1,158
C)$1,158; $1,878
D)$1,158; $2,598
E)$2,598; $1,878

Question

Quizplus · Accepted Answer

First, let's calculate the total amount paid to buy the 600 shares:
600 x $24.20 = $14,520

Next, let's calculate the ending value of the 600 shares:
600 x Current Value = $15,678
Current Value = $26.13

Now we can calculate the total dollar capital gain:
600 x ($26.13 - $24.20) = $1,158

Finally, we can calculate the total dollar return:
Total dollar return = Capital gain + dividends received
Total dollar return = $1,158 + $720 = $1,878

Therefore, the answer is C.

You Bought 600 Shares of Stock at $24