If D1 = $1

question 21

Multiple Choice

If D1 = $1.25, g (which is constant) = 4.7%, and P0 = $26.00, what is the stock's expected dividend yield for the coming year?

• A) 4.12%
• B) 4.34%
• C) 4.57%
• D) 4.81%
• E) 5.05%

---

Definitions:

Similarity

A measure of how much two or more entities share in common, often used to assess closeness in features, opinions, or characteristics.

Compassion

Witnessing someone suffering and wanting to remove that suffering.

Perspective-Taking

The ability to see the world from another’s point of view.

Frame of Reference

A set of criteria or stated values in relation to which measurements or judgments can be made.