A stock currently sells for $50 per share,has an expected return of 15%,and an expected capital appreciation rate of 10%.What is the amount of the expected dividend?
A) $2.50
B) $2.75
C) $3.00
D) $3.50

Name: A stock currently sells for $50 per share,has an expected return of 15%,and an expected capital appreciation rate of 10%.What is the amount of the expected dividend? A) $2.50 B) $2.75 C) $3.00 D) $3.50
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Question

Quizplus · Accepted Answer

Dividend yield = 0.15 − 0.10 = 0.05Expected dividend = 0.05 × $50 = $2.50

A Stock Currently Sells for $50 Per Share,has an Expected