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Tulia Dairy pays a $2.50 cash dividend and earns $5.00 pershare. The cash dividend has recently been increased to$2.65 per share, and a 3 percent stock dividend has been declared. What is the effective rate of increase in the dividends forTulia as a result of this action?
Purpose of the discussion question is to allow you as the student/learner to demonstrate your understanding of the chapter's key learning points and how you might apply them in given situation.
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