The Common Stock of JL Recyclers Has a Required Return

question 113

Multiple Choice

The common stock of JL Recyclers has a required return of 10 percent and a current value of $20.32. The company pays its dividend annually and increases the amount by 3 percent each year. You own 350 shares of this stock. What was the total amount of the last dividend you received?

• A)$323
• B)$362
• C)$432
• D)$483
• E)$513

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Definitions:

Defense Mechanism

Psychological strategies brought into play by the unconscious mind to manipulate, deny, or distort reality in order to defend against feelings of anxiety and unacceptable impulses and to maintain one's self-schema.

Freudian Theory

A set of psychoanalytic theories developed by Sigmund Freud, which emphasize the importance of unconscious processes and childhood experiences in shaping personality and behavior.

Defense Mechanisms

Strategies the ego uses to disguise or transform unconscious wishes.

Ego

Within the framework of psychoanalytic theory, it's the component of one's personality that acts as an intermediary among the desires of the id, the superego, and the exigencies of reality.