Question: Problem 8-1 Paul Dargis has analyzed five stocks and estimated the dividends they will pay next year as well as their prices at the end

Problem 8-1

Paul Dargis has analyzed five stocks and estimated the dividends they will pay next year as well as their prices at the end of the year. His projections are shown below.

Stock Current Price Projected Dividend Projected Stock Price
A $38.00 $1.40 $44.00
B 24.50 0.80 25.00
C 57.50 2.20 64.00
D 74.35 None 81.00
E 64.00 3.15 63.00

Compute the dividend yield, capital gain yield, and total one-year return implied by Paul's estimates for each stock. Do not round intermediate calculations. Round the answers to two decimal places. Use a minus sign, to indicated negative answers. If an answer is zero, enter "0".

Stock A Stock B Stock C Stock D Stock E
Dividend Yield: % % % % %
Capital Gains Yield: % % % % %
Total Yield: % % % % %

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