The dividend yield ratio shows the percentage of a stock's market value returned as dividends to shareholders each accounting period.

Question

Quizplus · Accepted Answer

The dividend yield ratio is calculated by dividing the annual dividend per share by the current market price per share and then multiplying by 100 to express it as a percentage. This ratio shows the portion of a company's earnings that are distributed to shareholders as dividends.

The Dividend Yield Ratio Shows the Percentage of a Stock's