Charlene owns stock in a company which has consistently paid a growing dividend over the last five years.The first year Charlene owned the stock,she received $1.71 per share and in the fifth year,she received $2.89 per share.What is the growth rate of the dividends over the last five years? (Round to the nearest whole number)
A) 7 percent
B) 14 percent
C) 12 percent
D) 5 percent
E) 11 percent

Question

Quizplus · Accepted Answer

i = 11ea7fdb_fc26_ad64_a768_278a1c7063eb_TB2902_00 - 1
i = 11ea7fdb_fc26_ad65_a768_0de0dd1e7a40_TB2902_00 - 1 = 14.02%
Using a financial calculator:
N = 4, PV = -1.71, PMT = 0, FV = 2.89, cpt I/Y = 14.02%

Charlene Owns Stock in a Company Which Has Consistently Paid