Robert paid $100 for a share one year ago. The total return on the share was 10 per cent. Therefore, the share must be selling for $110 today.

Question

Quizplus · Accepted Answer

The statement is not necessarily true. While the total return on the share was 10%, the current selling price could be more or less than $110. The total return on a share includes not only the change in the share price but also any dividends or distributions received, so without additional information on these factors, it is not possible to determine the current selling price.

Robert Paid $100 for a Share One Year Ago