Answer:
Return on investment=12.81%
Explanation:
Return on investment for a stock comprises of the capitals and dividend earned on the stock.
The capital gain is the difference between he cost of the shares when it was bought and the value when it is sold.
Capital gain = (24.50 -22)× 500= 1250
Dividend earned for a year = 0.32× 500 =160
Total return = 1250 + 160 =1,410
Total return = $1,410
Cost of the shares= 11,000
Return on investment = total return/cost of shares× 100
=1,410
/11,000 × 100= 12.81
Return on investment=12.81%
