Question

The total annual dividend earned by an investor is given by:

Options

• \[ \text{Total Annual Dividend} = \frac{\text{Number of Shares}}{\text{Dividend per Share}} \]

• \[ \text{Total Annual Dividend} = \frac{\text{Dividend } \%}{100} \times \text{Market Value} \]

• \[ \text{Total Annual Dividend} = \text{Number of Shares} \times \text{Market Value} \]

• \[ \text{Total Annual Dividend} = \text{Number of Shares} \times \text{Dividend per Share} \]

Answer 1

Total Annual Dividend = Number of Shares × Dividend per Share, where Dividend per Share = (Dividend % / 100) × Face Value.