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20 January, 22:10

Jack owned a stock for five months and earned an annualized rate of return of 6 percent. What was the holding period return?

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  1. 21 January, 01:46
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    Answer: 2.42%

    Explanation:

    Annualized return = (1 + x) ^12/5 - 1

    =.06; x = 1.06 ^5/12 - 1;

    x = HPR = 2.42%
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