Consider a one-month investment in Microsoft stock. Suppose that you buy the stock in month...
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Consider a one-month investment in Microsoft stock. Suppose that you buy the stock in month -1 at P-1 - $85 and sell the stock the next month for P. = $90. Further assume that the price of Microsoft stock in month t-2 is P-2 = $80 and no dividend is paid between t-2 and t. What is the two-month net return (to 4 decimal places)? Select one: a. 0.1250 b. 0.0625 C. 1.1250 d. 0.0588 e. 0.0629
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