Assume you found the following stock quote for DRK Enterprises, Inc., at your fa

Question

Assume you found the following stock quote for DRK Enterprises, Inc., at your favorite Web site. You also found that the stock paid an annual dividend of $.89, which resulted in a dividend yield of 1.60 percent.

What was the closing price for this stock yesterday? (Do not round intermediate calculations. Round your answer to 2 decimal places. Omit the "$" sign in your response.)

How many round lots of stock were traded yesterday? (Round your answer to the nearest whole round lot.)

Assume you found the following stock quote for DRK Enterprises, Inc., at your favorite Web site. You also found that the stock paid an annual dividend of $.89, which resulted in a dividend yield of 1.60 percent.

Explanation / Answer

(1) Dividend yield = annual dividend / current stock price

0.016 = 0.89 / current stock price

So, current stock price (Closing price) = 0.89 / 0.016 = 55.63

(2) Number of round lots = volume / 100

= 18,649,130 / 100 = 186,491 round lots

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