The Yield of a Stock Is the

question 18

Multiple Choice

The yield of a stock is the

• A) dividend divided by the closing price per share.
• B) dividend divided by the average daily price of the stock.
• C) closing price divided by the 52-week low price.
• D) dividend divided by the opening price per share.

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Definitions:

Financing Activities

Transactions related to raising capital and repaying investors, including issuing shares, taking out loans, and paying dividends.

10-Year Bond

A debt security issued by governments or corporations with a fixed interest rate and maturity of ten years.

Statement of Cash Flows

A financial statement that shows how changes in balance sheet accounts and income affect cash and cash equivalents, breaking the analysis down to operating, investing, and financing activities.

Direct Method

In cash flow reporting, this accounting method lists major cash inflows and outflows directly, showing the exact sources and uses of cash during the reporting period.