A company's dividend yield is 3% and itsstock is trading at $80 per share. What isthe annual dividend per share?a) $1.80b) $2.40c) $2.60d) $3.20

Explanation of Dividend Yield: This is a financial ratio that shows how much a company pays out in…

Answered: A company's dividend yield is 3% and…

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter10: Stockholder's Equity

Section: Chapter Questions

Problem 79E: Ratio Analysis MJO Inc. has the following stockholders equity section of the balance sheet: On the...

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The Cost of Equity and Flotation Costs Messman Manufacturing will issue common stock to the public for $30. The expected dividend and the growth in dividends are $3.00 per share and 5%, respectively. If the flotation cost is 10% of the issue’s gross proceeds, what is the cost of external equity, re?
Rebert Inc. showed the following balances for last year: Reberts net income for last year was 3,182,000. Refer to the information for Rebert Inc. above. Also, assume that the dividends paid to common stockholders for last year were 2,600,000 and that the market price per share of common stock is 51.50. Required: 1. Compute the dividends per share. 2. Compute the dividend yield. (Note: Round to two decimal places.) 3. Compute the dividend payout ratio. (Note: Round to two decimal places.)
The Castle Company recently reported net profits after taxes of $15.8 million. It has 2.5 million shares of common stock outstanding and pays preferred dividends of $1 million a year. The company’s stock currently trades at $60 per share. Compute the stock’s earnings per share (EPS). What is the stock’s P/E ratio? Determine what the stock’s dividend yield would be if it paid $1.75 per share to common stockholders.
Rebert Inc. showed the following balances for last year: Reberts net income for last year was 3,182,000. Refer to the information for Rebert Inc. above. Also, assume that the market price per share for Rebert is 51.50. Required: 1. Compute the dollar amount of preferred dividends. 2. Compute the number of common shares. 3. Compute earnings per share. (Note: Round to two decimals.) 4. Compute the price-earnings ratio. (Note: Round to the nearest whole number.)
What is the dividend yield if the annual dividend per share is $7.50 and the market price of a share of stock is $97?
Calculate the dividend yield
A company has recently declared a dividend of 12p per share. The share price is £3.72cum div and earnings for the most recent year were 60p per share.What is the Price earnings (P/E) ratio?
A company currently issues dividends at a rate of $1.25 per share. It has cost of equity of 6% and a dividend growth rate of 1.5%. With this data, calculate the current value of the company's stock price.
A company has stock which costs $42.75 per share and pays a dividend of $2.70 per share this year. The company's cost of equity is 9%. What is the expected annual growth rate of the company's dividends? O A. 10.72% В. 5.36% С. 2.68% O D. 8.04%
The Co. pays an annual dividend that is expected to increase by 4.1%/year. The stock’s return = 12.6% and sells for $24.9/share. Calculate the next dividend (D1) A. $2.03B. $2.12C. $3.17D. $2.20
North Side Corp’s dividends for year 1, year 2, year 3, and expected share price for year 3 are: D1=$1.95, D2=$2.10, D3=$2.18, and P3=$95 respectively. What is the company’s current share price given the required return of 8 percent?
Recto Co. has a price earnings ratio of 10, earnings per share of P2.00, and a pay out ratio of 75%. The dividend yield is a. 25.0% b. 22.0% c. 7.5% d. 10.0%

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A company's dividend yield is 3% and its stock is trading at $80 per share. What is the annual dividend per share? a) $1.80 b) $2.40 c) $2.60 d) $3.20