Question # 1 (Marks 8)
A portfolio of Rs. 1,000 entitles the investor to receive dividend of Rs. 150 at the end of year 2011. Expected future sale price at the end of year is Rs. 998. If the investor plans to sell the stock in the market after holding it for one year, what will be the holding period return for one year on this portfolio(in terms of percentage)?
Holding one year return = 150 / 1000 + (998 - 1000) / 100
Holding one year return = 0.15 + (-0.002)
Holding one year return = 14.8%
plz tell me yah (-0.002) kassy ata hai
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