I bought 200 shares of stock in June of 1999 for $8,562.00 and sold them in June of 2009 for $11,582.00. What is my rate of return?
My answer is 35.27%
I agree
thank you
To calculate the rate of return, you need to use the following formula:
Rate of Return = ((Final Value - Initial Value) / Initial Value) * 100
In this case:
Initial Value = $8,562.00
Final Value = $11,582.00
Now let's substitute these values into the formula:
Rate of Return = (($11,582.00 - $8,562.00) / $8,562.00) * 100
Simplifying further:
Rate of Return = ($3,020.00 / $8,562.00) * 100
Rate of Return = 0.3527 * 100
Rate of Return = 35.27%
So, your answer of 35.27% is correct.