Winston Co

Multiple Choice

Winston Co. has a dividend yield of 5.4 percent and a total return for the year of 4.8 percent. Which one of the following must be true?

A) The dividend must be constant.
B) The stock has a negative capital gains yield.
C) The capital gains yield must be zero.
D) The required rate of return for this stock increased over the year.
E) The firm is experiencing supernormal growth.