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Basic Question 10 of 12

A share, currently trading at $80, was purchased a month ago for $75. During the month, a cash dividend of $1 was paid. Calculate the holding period return.

A. 7%
B. 8%
C. 5%

User Contributed Comments 2

User Comment
mbowa wish even the exams were this straight forward
msk500 I know. The tricky bit is whether it matters if the return is reinvested or not. Does it matter?
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I am using your study notes and I know of at least 5 other friends of mine who used it and passed the exam last Dec. Keep up your great work!
Barnes

Barnes

Learning Outcome Statements

calculate and interpret different approaches to return measurement over time and describe their appropriate uses;

CFA® 2025 Level I Curriculum, Volume 1, Module 1.