If dividend per share remained the same but the share price increased,what effect would this have on dividend yield?
A) The earnings per share (EPS) component of dividend yield would increase
B) Dividend yield would not be effected
C) Dividend yield would increase
D) Dividend yield would decrease

Question

Quizplus · Accepted Answer

Dividend yield is calculated by dividing dividend per share by the share price. If the share price increases but the dividend per share remains the same, the dividend yield will decrease.

If Dividend Per Share Remained the Same but the Share