4.01 Template
Part One and Two–Research and Finding the Real Return
Imagine you bought 100 shares of stock three years ago and are selling it today. Select a company and research its stock prices. You can start with websites like Nasdaq and Fidelity. Determine the stock's price three years ago, or the purchase
price, and its price today, or the selling price. Then calculate the real return of your stock investment.
Company of Choice Domino’s Pizza
Stock’s price/ purchase price 3yrs ago $284.16 (1/25/2019)
Price Today/ Selling Price $429.95
Purchase price of 100 shares of stock $28,416
Selling price of 100 shares of stock $42,995
10% tax rate $1457.90
3% inflation rate $437.37
2% administrative fee on the selling price of
the stock$859.90
Reflection Responses:
Analyze your research and calculations, and answer the following questions:
1.What company did you select to buy stock in? Why did you select the company?
I selected Domino’s because I knew it had substantial growth in the past few years, and because it’s a company I know.
2.Consider the real return of the stock investment. Do you consider it a wise investment? Why or why not?
The real return of the stock investment would equal $11,823.83. I think it is a wise investment. The real return is about 42% of the initial purchase price, and $11,000 in 3 years while virtually
Part One and Two–Research and Finding the Real Return
Imagine you bought 100 shares of stock three years ago and are selling it today. Select a company and research its stock prices. You can start with websites like Nasdaq and Fidelity. Determine the stock's price three years ago, or the purchase
price, and its price today, or the selling price. Then calculate the real return of your stock investment.
Company of Choice Domino’s Pizza
Stock’s price/ purchase price 3yrs ago $284.16 (1/25/2019)
Price Today/ Selling Price $429.95
Purchase price of 100 shares of stock $28,416
Selling price of 100 shares of stock $42,995
10% tax rate $1457.90
3% inflation rate $437.37
2% administrative fee on the selling price of
the stock$859.90
Reflection Responses:
Analyze your research and calculations, and answer the following questions:
1.What company did you select to buy stock in? Why did you select the company?
I selected Domino’s because I knew it had substantial growth in the past few years, and because it’s a company I know.
2.Consider the real return of the stock investment. Do you consider it a wise investment? Why or why not?
The real return of the stock investment would equal $11,823.83. I think it is a wise investment. The real return is about 42% of the initial purchase price, and $11,000 in 3 years while virtually