Explain how to compute dividend yield and discuss how it is used in analysis of a company's financial condition.
What will be an ideal response?
Dividend yield is the ratio of annual cash dividends per share divided by the market value per share of stock. The resulting dividend yield represents the annual amount of cash dividends distributed to common shares relative to their market value. Dividend yield can be used to identify whether a stock is an income stock or a growth stock. Companies that pay large dividends on a regular basis are income stocks. Companies that distribute little or no cash but use the cash to finance expansion are known as growth stocks.
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Operating activities are transactions and events associated with selling a product or providing a service related to
a. the revenues and expenses reported on the income statements. b. the assets and liabilities reported on the balance sheet. c. the net income reported on the statement of retained earnings. d. the retained earnings reported on the balance sheet.
In a media selection problem, instead of having an objective of maximizing profit or minimizing cost, generally the objective is to maximize the audience exposure
Indicate whether this statement is true or false.
Elias works at Lenno Landscaping as a mower. He is paid a set rate for each lawn that he mows. Elias receives piecework compensation.
Answer the following statement true (T) or false (F)
A way of managing a firm's cash disbursements would be through
A) accounts receivable factoring. B) zero balance accounts. C) lockbox system. D) floating lien.