A company reports basic earnings per share of $3.50, cash dividends per share of $0.75, and a market price per share of $64.75. The company's dividend yield equals:
A) 1.16%.
B) 2.14%.
C) 4.67%.
D) 5.41%.
E) 18.50%.

Question

Quizplus · Accepted Answer

The dividend yield is calculated by dividing the cash dividends per share by the market price per share and then multiplying by 100 to get a percentage. So, ($0.75 / $64.75) * 100 = 1.16%.

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