Ask Question
BusinessBusiness
28 May, 18:23

A company reports basic earnings per share of $5.10, cash dividends per share of $2.05, and a market price per share of $65.55. The company's dividend yield equals:

+1
Answers (2)
  1. 28 May, 19:08
    0
    3.13%

    Explanation:

    The dividend yield refers to the payment by a company to its shareholders for their shareholding divided by current stock price of the company. This is usually expressed as a percentage and can be calculated for this question as follows:

    Dividend yield = Dividends per share (DPS) : Market price per share (MPS) = $2.05 : $65.55 = 0.0313, or 3.13%.
  2. 28 May, 20:01
    0
    The company's dividend yield equals: 3.13%

    Explanation:

    Let's recall the formula of the dividend yield:

    Dividend yield = Annual dividend/Current stock price

    Replacing with the values provided, we have:

    Dividend yield = 2.05/65.55

    Dividend yield = 0.0313

    Dividend yield = 3.13%

    Interpretation:

    Dividend yield is a way to compare the level of attractiveness of any dividend-paying stock. It shows an investor the yield he/she can expect on an annual basis by purchasing a stock.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “A company reports basic earnings per share of $5.10, cash dividends per share of $2.05, and a market price per share of $65.55. The ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers
You Might be Interested in
Person who signs the loan contract with the borrower and promises to repay if the borrower does not
Answers (1)
A customer buys 100 shares of preferred at $101 per share. The par value is $100. The dividend rate is 8%. Each dividend payment will be: A. $80 B. $400 C. $800 D. $808
Answers (1)
Grace period is a period of time before the credit card company starts changing late fees true or false
Answers (1)
Consider two projects with the following cash flows: Project S is a 4 year project with initial (time 0) cash outflow of 3000 and time 1 through 4 cash inflows of 1500, 1200, 800 and 300 respectively.
Answers (1)
On January 2 of the current year, Calloway and Taylor contribute cash equally to form the CT Partnership. Calloway and Taylor share profits and losses in a ratio of 75% and 25%, respectively.
Answers (1)
New Questions in Business
Suppose Zenon Co. issued a long-term bond and received $250,000 cash from the issuance during 2015. The company also issued 12,000 shares of common stock for $260,000. At the end of the year, Zenon paid $165,000 for the dividend declared last year.
Answers (1)
How much is a 1941 wheat penny worth today?
Answers (2)
The board of directors of Capstone Inc. declared a $0.70 per share cash dividend on its $1 par common stock. On the date of declaration, there were 50,000 shares authorized, 22,000 shares issued, and 3,800 shares held as treasury stock.
Answers (1)
Property taxes are usually determined based on the property owner's income. the amount of money invested in the property. the earnings generated by the property. the value of the property.
Answers (1)
He Cook Corporation has two divisions--East and West. The divisions have the following revenues and expenses: East West Sales $ 585,000 $ 473,000 Variable costs 174,000 228,300 Traceable fixed costs 145,500 207,000 Allocated common corporate costs
Answers (1)
Home » Business » A company reports basic earnings per share of $5.10, cash dividends per share of $2.05, and a market price per share of $65.55. The company's dividend yield equals:
Sign Up Forgot Password?