3. If a firm pays a quarterly dividend of 50 cents a share and you buy...
3. If a firm pays a quarterly dividend of 50 cents a share and you buy 10 shares of the stock, how much will you receive each quarter? A. 50 cents B. $5.00 C. $50.00 D. $500.00
Homework Answers
Dividend = 50 cents per share
Total shares = 10 shares
Total dividend = dividend per share * total shares = 50 cents * 10 = 500 cents
1 $ = 100 cents
Therefore 500 cents = 500/100 = $5
Total dividend =$5 [ option b]
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