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XYZ stock price and dividend history are as follows:

Year	Beginning-of-Year Price		Dividend Paid at Year-End
2010	$	110	$ 3
2011	$	113	$ 3
2012	$	100	$ 3
2013	$	105	$ 3

An investor buys four shares of XYZ at the beginning of 2010, buys another two shares at the beginning of 2011, sells one share at the beginning of 2012, and sells all five remaining shares at the beginning of 2013.

a. What are the arithmetic and geometric average time-weighted rates of return for the investor? (Do not round intermediate calculations. Round your answers to 2 decimal places.)

Arithmetic mean	%
Geometric mean	%

b-1. Prepare a chart of cash flows for the four dates corresponding to the turns of the year for January 1, 2010, to January 1, 2013. (Negative amounts should be indicated by a minus sign.)

Date	Cash Flow
1/1/2010	$
1/1/2011
1/1/2012
1/1/2013

b-2. What is the dollar-weighted rate of return? (Hint: If your calculator cannot calculate internal rate of return, you will have to use a spreadsheet or trial and error.) (Negative value should be indicated by a minus sign. Round your answer to 4 decimal places.)

Rate of return %

xYZ Stock prize and dMdend history are as fol lows Yar Beginnirg of Year Price Cde S 110 5 113 5 100 2011 2012 5 3 5 3 r shares or the begirnng ot 2010, s ing or 201 ve remanng shares a 3. What are the ar thmetic and gecnetrc average time weighted rates of retum for the inv? (Do not round intermediate calculations. Round your answers to 2 decimal places. Amthmerc Gacmetric mean b-1. Prepare a chart at cash taws foe the tour dates comespanding to tha hums ot the year for.Janury 1, 201lary 1, 2113 (Nogatirve amounts should be indicated by a minus sign.) 1/1/2010 $ /2012 b-2. what is the dolar weighted rate of return? hn if your calculator cannot calculate intemal rate of retum, you wil have to use a spreadsheet or tral and error) (Negative value should be indicated by a minus sign. Round your answer to 4 decimal places.) int.i Rale ol relui

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