1. One year ago you purchased 200 shares of a stock at a price of $54.18 a sha

1. One year ago you purchased 200 shares of a stock at a price of $54.18 a share. Today you sold those shares for $40.25 a share. During the
past year you received total dividends of $164 while inflation averaged 4.2 percent. What is your approximate real rate of return on this investment?
A. -24.20 percent
B. -28.40 percent
C. -20.00 percent
D. 20.00 percent
E. 24.20 percent

2 . A stock had annual returns of 3.6 percent -8.7 percent 5.6 percent and 11.1 percent over the past four years. Which one of the
following best describes the probability that this stock will produce a return of 20 percent or more in a single year?
A. less than 0.1 percent
B. less than 0.5 percent but greater than 0.1 percent
C. less than 1.0 percent but greater the 0.5 percent
D. less than 2.5 percent but greater than 1.0 percent
E. less than 5 percent but greater than 2.5 percent

3. A stock has returns of 18 percent 11 percent -21 percent and 6 percent for the past four years. Based on this information what is the
95 percent probability range of returns for any one given year?
A. -13.56 to 20.56 percent
B. -24.60 to 31.80 percent
C. -30.62 to 37.62 percent
D. -47.68 to 54.68 percent
E. -71.73 to 71.73 percent