Answer:
stock price = 166.667
Explanation:
given data
dividend = $2 per quarter
dividend yield = 4.8%
to find out
What is the stock price
solution
we know that Dividend = $2 per quarter = 2 × 4 = $8 per annual
and dividend yield on the stock is given = 0.048
so stock price will be here as
stock price = [tex]\frac{Dividend}{dividend\ yield}[/tex] ................1
put here value we get
stock price = [tex]\frac{8}{0.048}[/tex]
stock price = 166.667
