Use the Table for the Question(s)below

question 3

Multiple Choice

Use the table for the question(s) below.
Consider the following price and dividend data for General Electric Company:
-Assume that you purchased General Electric Company stock at the closing price on December 31,2008 and sold it after the dividend had been paid at the closing price on January 26,2009.Your dividend yield for this period is closest to:

• A)-8.15%.
• B)0.75%.
• C)0.70%.
• D)-8.80%.

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Definitions:

Relatively Inelastic

A term used to describe a situation where the demand or supply for a good or service is less responsive to changes in price.

Total Revenue

The total income that a company receives from its normal business activities, usually from the sale of goods and services to customers.

Inelastic Demand

A situation where the quantity demanded of a good or service changes little when its price changes.

Elastic Demand

A situation where the demand for a good or service significantly changes in response to changes in price.