Chicken Delight has entered 28 markets and has built a stable consumer base; the company also hasmany growth prospects if it can find competent local working-partners. Last year Chicken Delightpaid a $0.45 per share dividend. The company shares were trading at $7.20 at the beginning of the year and $7.84 at the end. Chicken Delights capital gain yield last year was

Question

Quizplus · Accepted Answer

The capital gain yield is calculated as (Ending Price - Beginning Price) / Beginning Price. Here, it is ($7.84 - $7.20) / $7.20 = 0.0889 or 8.89%.

Chicken Delight Has Entered 28 Markets and Has Built a Stable