Question

Suppose you own 100 shares of stock. It pays $1 per share in dividend. How much will you

receive every quarter?

Answer 1

Answer: $25

Explanation:

You own 100 shares of the stock and it pays $1 per share as dividend.

Amount of dividends you receive will therefore be:

= 100 * 1

= $100

Dividends are however, quoted on a yearly basis. The quarterly dividend received would be:

= 100 / 4 quarters

= $25