The Toy Chest will pay an annual dividend of $2.64 per share next year and currently sells for $48.30 a share based on a market rate of return of 11.67 percent. What is the capital gains yield?
A. 7.35 percent
B. 7.78 percent
C. 9.23 percent
D. 6.20 percent
E. 4.49 percent
Ans: D. 6.20 percent
Business
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