Asked by Chhor Sotheanea on May 20, 2024
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One year ago, you purchased a stock at a price of $32.50. The stock pays quarterly dividends of $.40 per share. Today, the stock is worth $34.60 per share. What is the total amount of your dividend income to date from this investment?
A) $.40
B) $1.60
C) $2.10
D) $2.50
E) $3.70
Quarterly Dividends
Dividends paid by a corporation to its shareholders at the end of each quarter.
Dividend Income
Income received from owning shares in a company, typically in the form of cash payments made to investors from the company's earnings.
Shares
Units of ownership in a company or financial asset that give shareholders a portion of the company's profits and voting rights.
- Comprehend the methodology for calculating income derived from dividends on investments.
Verified Answer
Learning Objectives
- Comprehend the methodology for calculating income derived from dividends on investments.
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