Dividend Yield on Common Stock Is Calculated as

question 42

Multiple Choice

Dividend yield on common stock is calculated as

• A) dividends on common stock, divided by shares of common stock outstanding
• B) net income minus preferred dividends, divided by shares of common stock outstanding
• C) dividends per share of common stock, divided by earnings per share
• D) dividends per share of common stock, divided by market price per share of common stock

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Definitions:

Quarterly Data

Data that is collected, reported, or compiled every three months within a year, often used in business and finance to track performance.

Seasonal Indexes

Factors used to adjust data to account for seasonal effects, enabling more accurate analysis across different times of the year.

Centered Moving Averages

A technique used to smooth out short-term fluctuations in time series data and highlight longer-term trends by averaging data points centered around each point.

Quarter

One-fourth of a year, often used in financial and business contexts to divide the fiscal or calendar year for reporting purposes.