GAP's earnings per share is $3.11.Its common dividend is $.36 per share and its market price is $40 per share.The dividend yield is 0.9%.

Question

Quizplus · Accepted Answer

Dividend yield is calculated by dividing the annual dividend per share by the market price per share and multiplying by 100. In this case, the dividend yield would be ($0.36/$40) x 100 = 0.9%. The fact that the earnings per share is $3.11 is not relevant to determining the dividend yield.

GAP's Earnings Per Share Is $3