The dividend yield is computed by dividing:

A) Annual cash dividends per share by earnings per share.
B) Earnings per share by cash dividends per share.
C) Annual cash dividends per share by the market value per share.
D) Par value per share by cash dividends per share.
E) Cash dividends per share by retained earnings.

Dividend Yield

A measure of how a company's annual dividend disbursement stands in relation to the price of its stocks.

Annual Cash Dividends

The total amount of cash payments made to shareholders from a company's earnings over one fiscal year.

Market Value

The prevailing market rate at which a service or asset is available for purchase or sale.