What is the expected holding period return on the stock
Question:
Company ABC's stock trades at $52 per share. You intend to buy the stock today and hold it for 2 years. Two years from today, you expect to sell the stock at $54.75 per share. What is the expected holding period return on the stock?
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a. What is the current price of the stock? b. What is the expected price of the stock in a year?
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What can explain the differences in return on equity between the two.
Two years from today, you expect to sell the stock at $54.75 per share. What is the expected holding period return on the stock?
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