Last year, xavier purchased 125 shares of stock a at $96 per share, 30 shares of stock b at $150 per share, and a $1000 bond with a 4.25% coupon for $1075. xavier sold both stocks today. stock a is worth $98 per share and stock b has a value of $155 per share. assuming neither stock paid a dividend, which investment has the lowest rate of return? stock a stock b bond stock a and stock b

Answer : Stock A

Xavier purchased 125 shares of Stock A at $96 per share

After one year , Stock A is worth $98 per share

percentage return =

- Initial stock price

- Final stock price

Stock A percentage return = = 2/ 96 = 2.08%

Stock B percentage return = = 5/ 150 = 3.3%

Given, $1000 bond with a 4.25% coupon for $1075

Coupn amount for bond = * 1000 = 42.5

Bond percentage return= coupon amount / 1075

= 3.95%

Stock A has the lowest rate of return

d is the correct answer

step-by-step explanation:

x= 8 because 3x = 3 * 8, and 3*8 = 24

-22

times both sides by 2, times () by 8, add alile terms, move terms, add alike and caculate divide both sides by 3