What is the return on a portfolio if the portfolio market value at the beginning of the interval is $1,250, the portfolio market value at the end of the interval is $1,385, and the cash distributions to the investor during the interval is $55.52?

Question

Quizplus · Accepted Answer

The return on the portfolio can be calculated using the formula: 
Return = (Ending value + Distributions - Beginning value) / Beginning value

Substituting the given values, we get: 
Return = (1385 + 55.52 - 1250) / 1250 
Return = 190.52 / 1250 
Return = 0.152416 or 15.24% (rounded to two decimal places)

Therefore, the best choice is B.

What Is the Return on a Portfolio If the Portfolio