The next dividend payment by Dizzle, Inc., will be $3.30 per share.

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Question

The next dividend payment by Dizzle, Inc., will be $3.30 per share.

The next dividend payment by Dizzle, Inc., will be $3.30 per share. The dividends are anticipated to maintain a growth rate of 7.25 percent forever. If the stock currently sells for $50.20 per share, what is the expected capital gains yield?

7.25%
7.15%
7.45%
7.35%

business finance

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Answer 1

Answer #1

A. 7.25%

Capital gain yield = Growth rate = 7.25%

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Answer 2

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The next dividend payment by Dizzle, Inc., will be $3.30 per share.

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The next dividend payment by Dizzle, Inc., will be $3.30 per share.

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The next dividend payment by Dizzle, Inc., will be $3.30 per share.