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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 was very pleased with your notes and question bank. I especially like the mock exams because it helped to pull everything together.
Martin Rockenfeldt

Martin Rockenfeldt

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.