Josh Purchased 100 Shares of XOM for $76

Multiple Choice

Josh purchased 100 shares of XOM for $76.63 per share at the beginning of 2016. He received dividends per share of $1.37 (2016) , $1.55 (2017) , $1.66 (2018) , $1.74 (2019) , $1.85 (2020) . At the end of 2020 just after receiving the last dividend, he sold the stock for $84.76. What was his average annual rate of return form both dividends and capital gains? (Hint: compute the IRR, assume that all dividends were received at the end of the year.)

A) 9.831%
B) 3.774%
C) 3.423%
D) 4.076%