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Nataly_w [17]
3 years ago
15

2. Global Cable paid dividends of $0.28 and $0.16 per share last year. Given yesterday's closing price was $11.27, determine the

current yield on the stock? Round to the nearest tenth.
Mathematics
1 answer:
Kay [80]3 years ago
6 0

Answer:

3.90%

Step-by-step explanation:

Relevant Data provided as per the question below:

Annual dividend = $0.28 and $0.16

Current per share = $11.27

According to the given situation, the calculation of the current yield of the stock is shown below:-

Current yield is

= \frac{Annual\ dividend}{Current\ share\ price} \times 100\\\\ = \frac{0.28 + 0.16}{11.27} \times 100

= \frac{0.44}{11.27} \times 100

= 3.90%

Therefore for computing the current yield of the stock we simply applied the above formula.

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