Realized annual return

bsimmons

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Mar 30, 2009
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find the stock price at the beginning and end of the year and information on dividends during the year. What was the realized annual return? I' m using the nike stock to solve the problem. I believe the equation that I need to user is as follows. Not sure if this is correct.

Rt+1=Divt +Pt+1/Pt-1= Divt+1/Pt + Pt+1-Pt/Pt.
 
bsimmons said:
Rt+1=Divt +Pt+1/Pt-1= Divt+1/Pt + Pt+1-Pt/Pt.
WHAT is your question?

Insert brackets PROPERLY in your equation...it is now UNCLEAR.
Like, is it 1/Pt or 1/(Pt - 1)
 
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