In January 2003, Microsoft announced that it would begin paying a dividend of $0.16 per share. Given the following share prices for Microsoft stock in the recent past, how would a constant dividend of $0.16 per share per year have changed the company's average annual return to its shareholders over this period?

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Closing If Shareholder Shareholder Share Dividend Return Return Date 1998 (January 2) 1999 (January 4) 2000 (January 3) 2001 (January 2) 2002 (January 2) 2003 (January 2) Paid (without Div) (with Div) Price S 131.13 S 141.00 S 0.16 S 116.56 S 0.16 S 43.38 S 0.16 S 67.04 S 0.16 S 53.72 S 0.16 7.53% -17.33% -62.78% 54.54% -19.87% 7.65% -17.22% -62.65% 54.91% -19.63%