Sung Office Products just announced it is decreasing its annual dividend from $2.20 per share to $1.85 per share effective immediately. If the dividend yield remains at its pre-announcement level, then you know the stock price:
Multiple Choice
increased proportionately with the dividend decrease.
was unaffected by the announcement.
decreased by $.35 per share.
increased by $.35 per share.
decreased proportionately with the dividend decrease.
An investment earned annual returns of 7 percent, −32 percent, 11.5 percent, and 21.4 percent during the past four years. If you wish to know the compound annual rate of growth that the investment experienced, you should determine the ________, which equals ________ percent.
Multiple Choice
arithmetic; 17.97
arithmetic; 1.97
geometric; 4.21
geometric; −.38
geometric; 17.59
Based on the period 1926-2019, the actual real return on large-company stocks has been around:
Multiple Choice
6 percent.
8 percent.
7 percent.
10 percent.
9 percent.
