Question

Ali is considering purchasing a common stock that pays an annual dividend of $8.90 per share. If he purchases 450 shares for $75.10 per share, what would his annual income be from dividend?

Answer 1

$4,005

Explanation:

Ali will obtain an annual income of $8.90 for each of his 450 shares. That will total ...

450 × $8.90 = $4,005

Ali's annual dividend income will be $4,005.00.