What rate of return is she earning

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Reference no: EM131502962

1. An investor receives a $30 dividend on her share of preferred stock, valued at $375.

What rate of return is she earning?

a. 10%

b. 8%

c. 6%

d. 7%

2. The price of a share of stock is $25 and the current expected rate of return is 15%, with a constant growth rate or 3%.

What is the next expected dividend?

a. $3

b. $4.50

c. $3.50

d. $2.50

Reference no: EM131502962

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