The Reading Co

question 68

Multiple Choice

The Reading Co. has adopted a policy of increasing the annual dividend on its common stock at a constant rate of 3% annually. The last dividend it paid was $0.90 a share. What will its dividend be in six years?

• A) $.90
• B) $.93
• C) $1.04
• D) $1.07
• E) $1.11

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Definitions:

Brown Eyes

A physical trait characterized by the presence of melanin in the iris, resulting in a brown coloration of the eyes.

Dominant-Recessive Genes Principle

A genetic principle in which the dominant allele masks the effect of a recessive allele in heterozygous pairs.

Dominant Gene

A genetic sequence that overpowers and determines the expression of a trait over another allele.

Recessive Gene

A gene that produces its characteristic phenotype only when its allele is identical, being masked by the effects of a dominant gene when paired with it.