Suppose you bought shares in two different companies: a. you bought 150 shares of company A worth 150 pesos per share which pays 30 pesos per share in annual dividends; and b. you bought 200 shares of company B worth 300 pesos per share which pays 50 pesos per share in annual dividends. Select all true statements. Company A is more productive than company B Company A's dividend yield is equal to 30% Company B's dividend yield is equal to 33.33% Company B is more productive than company A Company A's dividend yield is equal to 20% Company B's dividend yield is equal to 16.67%

EBK CFIN
6th Edition
ISBN:9781337671743
Author:BESLEY
Publisher:BESLEY
Chapter7: Stocks (equity) - Characterstics And Valuation
Section: Chapter Questions
Problem 1PROB
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Suppose you bought shares in two different companies:
a. you bought 150 shares of company A worth 150 pesos per share which pays 30 pesos per
share in annual dividends; and
b. you bought 200 shares of company B worth 300 pesos per share which pays 50 pesos per
share in annual dividends.
Select all true statements.
Company A is more productive than company B
Company A's dividend yield is equal to 30%
Company B's dividend yield is equal to 33.33%
Company B is more productive than company A
Company A's dividend yield is equal to 20%
Company B's dividend yield is equal to 16.67%
Transcribed Image Text:Suppose you bought shares in two different companies: a. you bought 150 shares of company A worth 150 pesos per share which pays 30 pesos per share in annual dividends; and b. you bought 200 shares of company B worth 300 pesos per share which pays 50 pesos per share in annual dividends. Select all true statements. Company A is more productive than company B Company A's dividend yield is equal to 30% Company B's dividend yield is equal to 33.33% Company B is more productive than company A Company A's dividend yield is equal to 20% Company B's dividend yield is equal to 16.67%
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