Which One of the Following Statements Is Correct Concerning the Dividend

question 73

Multiple Choice

Which one of the following statements is correct concerning the dividend yield and the total return?

• A)The dividend yield can be zero while the total return must be a positive value.
• B)The total return can be negative but the dividend yield cannot be negative.
• C)The total return must be greater than the dividend yield.
• D)The total return plus the capital gains yield is equal to the dividend yield.
• E)The dividend yield exceeds the total return when a stock increases in value.

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Definitions:

Interaction Effect

effect of one independent variable on the dependent variable at the different levels of another independent variable.

Main Effect

Effect of an independent variable on the dependent variable within a factorial research design.

Simple Effect

Effect of one independent variable at one of the levels of another independent variable.

Independent Variable

The factor in a study that the experimenter alters to see how it impacts the outcome variable.