Question: Assume that an investor in the S&P 500 reinvests his dividends. According to the chart, what approximate return would this investor have reaped from the early 2009 through to the endpoint of the chart?

Assume that an investor in the S&P 500 reinvests his dividends. According to the chart, what approximate return would this investor have reaped from the early 2009 through to the endpoint of the chart?

```Transcribed text From Image: KNOWLEDGE CHECK uld this 340% Assume that an investor in the S&P 500 reinvests his dividends. According to the chart, what approximate return would this investor have reaped from the early 2009 trough to the endpoint of the chart? 200% 550% 180%
SPX 2818.46 +20.10w 2779.96/2839.26 At 16:12 do 2812.66 H 2829.87 L 2803.99 Prev 2798.36 SPX Index 1 Settings Page 1 Total Return Analysis Range 12/30/1994 - 02/28/2019 Period Monthly Currency USD Price Open O Close Dividends Gross Net 2 90 Month Holding Period Table Holding Strategy Total Return Annual Eq Gain/Loss Price Change 506.2861% 7.73774 +2.3252k Divs Reinvested in The Index 863.4689% 9.82134 +3.9657k Dividends Reinvested At 2.4509% 683.0480% 8.8837% +3.1370k 1M 3M 6M YTD 1Y 2Y 3Y 5Y10Y Show Dividends Trade Zoom 003 2004 2005 zo 2012 2013 2014 2015 2016 2017 2018```

`Answer:`

Reinvest dividend:

The line is very near to 1000 in 2009.

In the end the line ended very close to 4400.

From 1000 it went near to 4400 at the end.

Formula:

[(Ending Value/Starting Value)-1]×100%

So it’s a return of [(4400/1000)-1]×100% = 340%

• Anonymous posted 2 years ago 340% is the answer
• Anonymous posted 2 years ago 340% is the answer
• Keshav posted 2 years ago Dear student, Thank you for the comment, I will look into it and update the answer (24 to 48 hours).
• Anonymous posted 1 year ago 340% is the answer
• Anonymous posted 1 year ago 340%
• Keshav posted 1 year ago I have updated the answer. Please verify now.
• Keshav posted 1 year ago Thank you for the input. Sorry, sometimes mistake happens.
• Keshav posted 1 year ago Kindly given an THUMBS UP NOW 🙂
• Anonymous posted 12 months ago 340% is the answer
• Anonymous posted 12 months ago 340% is the answer
• Keshav posted 12 months ago My answer is also 340%.
• Anonymous posted 12 months ago Genius man Keshav
• Anonymous posted 9 months ago Correct
• Anonymous posted 5 months ago this is right!
• Anonymous posted 4 months ago Dont mind the dislikes the answer is 340% I checked