Financial statements for Oram Company appear below: Dividends during Year 2 totaled $161 thousand, of which $10 thousand were preferred dividends. The market price of a share of common stock on December 31, Year 2 was $610.
-Oram Company's dividend yield ratio on December 31, Year 2 was closest to:
A) 2.9%
B) 3.3%
C) 0.4%
D) 3.1%

Question

Financial statements for Oram Company appear below:   Dividends during Year 2 totaled $161 thousand, of which $10 thousand were preferred dividends. The market price of a share of common stock on December 31, Year 2 was $610.
-Oram Company's dividend yield ratio on December 31, Year 2 was closest to:
A) 2.9% 
B) 3.3% 
C) 0.4% 
D) 3.1%

Quizplus · Accepted Answer

The dividend yield ratio is calculated as the annual dividends per share divided by the market price per share. Without specific figures, the closest estimate provided is 3.1%.

Financial Statements for Oram Company Appear Below: Dividends