The Annual Amount of Cash Dividends Per Share Distributed to Common

question 94

Multiple Choice

The annual amount of cash dividends per share distributed to common shareholders relative to the share's market price is called the

• A)Dividend payout ratio
• B)Dividend yield
• C)Price-earnings ratio
• D)Current yield
• E)Earnings per share

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Definitions:

Parameter

A numerical characteristic or feature of a population that is estimated using sample data.

Sample Variance

A measure of the dispersion or variability within a sample dataset, indicating how much the individual data points differ from the sample mean.

Population Variance

A measure of the dispersion of a set of data points in a population, calculated as the average of the squared distances of each data point from the population mean.

Unbiased Estimator

A statistical estimator that, when applied repeatedly to numerous samples, gives correct parameter values on average.