Dividend yield is calculated by dividing dividends per share by earnings per share and measures the current dividend return to investors.

Name: Dividend yield is calculated by dividing dividends per share by earnings per share and measures the current dividend return to investors.
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Question

Quizplus · Accepted Answer

Dividend yield is calculated by dividing the annual dividends per share by the current market price per share, measuring the dividend return relative to the stock price, not the earnings per share.

Dividend Yield Is Calculated by Dividing Dividends Per Share by Earnings