Which of the following best describes the formula for the total return on a stock?
A) The total return on a share of stock is calculated by adding the dividend yield and any commissions paid when the stock was bought.
B) The total return on a share of stock is calculated by adding the dividend yield and the capital gains yield.
C) The total return on a share of stock is calculated by adding the dividend yield and the firm's management expense ratio.
D) The total return on a share of stock is calculated by dividing the dividend yield and the capital gains yield.
Correct Answer:
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