Asked by
cartoon world
on Oct 28, 2024
Verified
Which of the following statements correctly describes either the dividend yield or the earnings per share?
A) The dividend yield decreases when net income increases.
B) Earnings per share is a measure per share of both common and preferred stock.
C) The dividend yield increases when the market price per share decreases.
D) Earnings per share decreases when dividends per share decrease.
Dividend Yield
A financial ratio that shows how much a company pays out in dividends each year relative to its share price.
Net Income
The total profit of a company after all expenses and taxes have been subtracted from total revenues.
- Grasp the differences in characteristics and rights between preferred and common stock.
Verified Answer
LB
Learning Objectives
- Grasp the differences in characteristics and rights between preferred and common stock.