Cox Footwear pays a constant annual dividend. Last year, the dividend yield was 2.5percent when the stock was selling for $26 a share. What is the current price of thestock if the current dividend yield is 3.1 percent?$20.97$26.80$26.00

Given information in question Last year dividend yield = 2.5% Last year stock price…

Answered: Cox Footwear pays a constant annual…

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Cox Footwear pays a constant annual dividend. Last year, the dividend yield was 2.5 percent when the stock was selling for $26 a share. What is the current price of the stock if the current dividend yield is 3.1 percent? $20.97 $26.80 $26.00