Keller Metals common stock is selling for $36 a share and has a dividend yield of 3.2 percent. What is the dividend amount?

Question

Quizplus · Accepted Answer

Dividend yield is the annual dividend amount divided by the stock price. Rearranging the formula, we can calculate the dividend amount:
Dividend amount = dividend yield x stock price
Dividend amount = 0.032 x $36
Dividend amount = $1.152
Rounding to the nearest cent, the dividend amount is $1.15.

Keller Metals Common Stock Is Selling for $36 a Share