A year ago,you purchased 300 shares of IXC Technologies,Inc. stock at a price of $10.05 per share. The stock pays an annual dividend of $.10 per share. Today,you sold all of your shares for $29.32 per share. What is your total dollar return on this investment?
A) $8,781
B) $8,796
C) $8,811
D) $8,832
E) $8,921

Question

Quizplus · Accepted Answer

Total cost of purchasing the shares = 300 x $10.05 = $3015 
Total dividend earned over the year = 300 x $0.10 = $30 
Total amount received from selling the shares = 300 x $29.32 = $8,796

Total dollar return on investment = (Amount received - Total cost) + Dividend earned 
= ($8,796 - $3015) + $30 
= $8,811

Therefore, the correct answer is C) $8,811.

A Year Ago,you Purchased 300 Shares of IXC Technologies,Inc