If you pay $100 for a share of stock, and the expected dividend is $5 per share, and you expect the price to rise $10 over the year, the expected return is:

Name: If you pay $100 for a share of stock, and the expected dividend is $5 per share, and you expect the price to rise $10 over the year, the expected return is:
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Quizplus · Accepted Answer

The expected return is calculated by adding the expected dividend and the expected price rise, then dividing by the initial price: ($5 + $10) / $100 = 0.15 or 15%.

If You Pay $100 for a Share of Stock, and the Expected