Gwen purchased a stock one year ago for $25, and it is now worth $31. The stock paid a dividend of $1.50 during the year. What was the stock's rate of return from dividend income during the year? A. 6% B. 15% C. 24% D. 26%
Gwen purchased a stock one year ago for $25, and it is now worth $31. The stock paid a dividend of $1.50 during the year. What was the stock's rate of return from dividend income during the year? A. 6% B. 15% C. 24% D. 26%
Chapter7: Stocks (equity) - Characterstics And Valuation
Section: Chapter Questions
Problem 2PROB
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What was the stock's
Transcribed Image Text:Gwen purchased a stock one year ago for $25, and it
is now worth $31. The stock paid a dividend of $1.50
during the year. What was the stock's rate of return
from dividend income during the year?
A. 6%
B. 15%
C. 24%
D. 26%
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