# Question: calculate a oneyear holding period return for the following two...

###### Question details

- Calculate a one-year holding period return for the following two investments alternatives.

Which investment would you prefer, assuming they are of equal risk? Explain.

Investment

X Y

Cash received

1^{st}
quarter
$1.00
$0.00

2^{nd}
quarter
$1.20
$0.00

3^{rd}
quarter
$0.00
$0.00

4^{th}
quarter
$2.30
$2.00

Investment value

Beginning of Year $30.00 $50.00

End of year $29.00 $56.00