What is the after-tax yield to an investor in a 28 tax


What is the after-tax yield to an investor in a 28% tax bracket on the following transaction held for 2 quarterly dividend payments (ignore commissions): 350 shares ABC purchased @ 22.25 per share; sold at 26.45 per share; stock pays $.80 dividend for year and the dividend does not qualify for taxation at a reduced rate. Select one: a. 20.67% b. 5.79% c. 14.88% d. 13.59%

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Financial Management: What is the after-tax yield to an investor in a 28 tax
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