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The common stock of Green Garden Flowers is selling for $24 a share. The company pays a constant annual dividend and has a total return of 3.8 percent. What is the amount of the dividend?
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The common stock of Green Garden Flowers is selling for $24 a share. The company pays a constant annual dividend and has a total return of 3.8 percent. What is the amount of the dividend?

 

D = Dividend

S = Number of Share

DS + 3.8% (DS) = $24 S

D + 0.038 D = $ 24

1.038 D = $ 24

D = $ 24/ 1.038

D = $ 23.12 ◄ Ans

 

 

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