Finra Exam Series-7 Topic 6 Question 66 Discussion

Actual exam question for Finra's Series-7 exam

Question #: 66
Topic #: 6

The Bubba Corporation has 900,000 of common outstanding and holds 100,000 shares as treasury stock. At the end of the third quarter $450,000 is distributed as a dividend on the common.

How much is the dividend per share?

A$0.45

B$0.50

C$2.00

D$2.22

Show Suggested Answer

Suggested Answer: A

$0.45. Since treasury stock does not receive dividends, divide $450,000 by the outstanding 100,000 shares to arrive at $0.45 per share.

by Annabelle at Feb 28, 2023, 01:38 PM

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