Question

Suppose you own 125 shares of a stock that pays a dividend of $0.29 per

share per year. How much will you receive in dividends over 6 years,
assuming the dividends stay the same and you buy no more stock?
OA. $161.25
OB. $217.50
C. $174.00
D. $36.25

Answer 1

To calculate the total dividends received over 6 years, we can use the formula:

Total dividends = Annual dividend per share x Number of shares x Number of years

In this case, the annual dividend per share is $0.29, the number of shares is 125, and the number of years is 6.

Total dividends = $0.29 x 125 x 6 = $217.50

Therefore, the answer is (B) $217.50.

Explanation: