Use the Information for the Question(s)below

question 27

Multiple Choice

Use the information for the question(s) below.
Von Bora Corporation is expected to pay a dividend of $1.40 per share at the end of this year and a $1.50 per share at the end of the second year.You expect Von Bora's stock price to be $25.00 at the end of two years.Von Bora's equity cost of capital is 10%.
-Suppose you plan on purchasing Von Bora stock in one year,right after the $1.40 dividend is paid.You then plan on selling your stock at the end of year two,right after the $1.50 dividend is paid.The dividend yield that you will receive on your investment is closest to:

• A)5.75%.
• B)6.50%.
• C)6.25%.
• D)4.00%.

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Definitions:

Cohesive

Refers to the degree of closeness and solidarity within a group, which affects its productivity and members' satisfaction.

Faulty Team Design

Refers to flaws in the structure or composition of a team that hinder its effectiveness or efficiency.

Underperforming Teams

Groups that fail to meet expected or established standards of performance, often due to issues like poor communication, lack of direction, or insufficient resources.

Strategic Norms

Unwritten rules that align with the long-term goals and strategic objectives of an organization or team, guiding member behavior toward these aims.