A Stock Has Paid Dividends of $1

question 52

Multiple Choice

A stock has paid dividends of $1.80,$1.85,$2.00,$2.20,and $2.25 over the past five years,respectively.What is the average capital gains yield?

• A)2.80 percent
• B)3.24 percent
• C)4.45 percent
• D)5.34 percent
• E)5.79 percent

---

Definitions:

Sherman Antitrust Act

is a landmark federal statute in the U.S passed in 1890 that prohibits certain anti-competitive business activities and requires the federal government to investigate and pursue trusts.

Clayton Act

A U.S. antitrust law enacted in 1914, aimed at promoting competition and preventing monopolies by prohibiting anti-competitive practices.

Oligopoly

A market structure characterized by a small number of firms controlling the majority of the market share, leading to limited competition.

Monopolistic Competition

A market structure characterized by many firms offering products that are similar but not identical, allowing for some degree of market power.