Excelsior shares are currently selling for $25 each. You bought 200 shares one year ago at $24 and received dividend payments of $1.50 per share. What was your percentage capital gain this year?
A) 4.17%
B) 6.25%
C) 10.42%
D) 104.17%
E) 110.42%

Question

Quizplus · Accepted Answer

The capital gain is calculated as the difference in the selling price and the purchase price, divided by the purchase price. Here, the capital gain is ($25 - $24) / $24 = 0.0417, or 4.17%. Dividends are not included in capital gain calculations.

Excelsior Shares Are Currently Selling for $25 Each