Omment On The Differences Between 2802557

Question one: 10 Marks
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edded in an investment pro iv 144 11;il, . oei – 1 ,Ng.1 1., 1 ‘1
1.2. What ern 1lA Avd, [ 1104 Question Two: 20 IN/larks “:i!, 0,1 !.,. 1l
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project is 830,000,000″”.
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On March 22, 2017, Woodlands paid annual dividend o share. Because Woodlands financial fps arts are particularly bright investors believe that the company will increase its dividend by 20 percent per year for t e heXt four years.A ter tha o. W)11(ktaa. e t,,1
percent. investors require a 16 percent,:.r payment on March 22 each year,4illif “As’, ppip,,11 1, fit ktoitilig, 01, f 14 1 114,4 111:111411111’il „.1,
Required: -6 6.1. What is
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• price of Woodlands stock o March 23, 2017? 2
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[Olio ‘1.4 .IIlii i1 voodands stock on Marc
…„.„ ii14164411,44001011141414049411iii*INi4144iiillileijit9 1110114ht1liiiIN I ‘ 1114. rA, +1111,11,1011 6.3. Calculate the percentage change in price of Woodlands stock from March 23, 2017, to March 23 .
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ividend at a modest annual rate of 4 9p,c1jands always make its dividend
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6.4. For an investor who bought Woodlands stock on March 23, 2017, received a dividend on IVIarch 22 2018, and sold the stock on March 23, 2018, what was the total rate of return on the investment?Homithuch of this
return: c….at;e:. from the dividend, and-how.riitich•-caMe ‘from theLcapitaFgain? , ,… „, , , 11, ‘,1’0′,,,,Iii,,,l’w,.,014-#01′,k;’,400.110,$0,•1114.’-iiails’,01111.11′,111!1,i1„.11.’,)i.’0„i,,,1114:11,01.’1.1.1.!’,”‘Iliiiii”.1fisii.’ll.11111.’,1111.’1f1101.’,041111.11,(11’10”’,.111i. li „,,,,.„,„•.,,,„-„.„•,,,,,„,•,,,.,,,,.„,,,,,,•••„,•.,!,•,.„,•,„•„,.,,.,.,.•„,,„.•,…. .,, . …. …What is the price cif:Woo:diands stogy k on arch 3, 2021? [3] ..,..0:01411$91011:001110i11000iiiliroll1111(.1111!1.i.r11111j:,111!1141111i.iiihilliwill11111i4iiill’,11111.414114141111111111441i.i.,11 ,,1 • • • • • •• • : • ‘ –: • • • 6.6. What is the price of Woodlands ”tock on March .2.,.. 2022? …Air 111.14 , ,. ,,, “r”’,”””…””I’ll’.:. 1.4111…i1114F411101111:: I.,11 It 1, . 4itill 4144,t0illitit 1441441i141.’,’I’iltlikliitt14111(111111,4:t tiiii. )1’1101111.• !i 11,1 1 t, Ill
Fpr.aninvestor who bought Woodlan s. 4 0 47. C. h. 23′,
and sold the stock on March 23, 2022, whA’
a return came from the dividend, and how much carnet your answers to this question and your answe,rs ill ? I • 11, 40111i,14111 4 19. r1i,11
I rate of
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capital gains.
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ill 1 !VI :t: „ :.’-‘1:`’.,..1,4, .,..I eiVe a dividendarch ’22, 2022, 10, $0, RI, 0, 40 41 on. t.he investment? How much, of this
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omment on the differences between
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Prof. Angela

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