1. Which one of the following correctly describes the dividend yield ?
A. Next years annual dividend divided by todays stock price
B. This years annual dividend divded by tomorrows stock price
C. This years annual dividend divided by next years expected stock price
D. Next years annual dividend divided by this years annual dividend
E. The increase in next years dividend over this years dividend divided by this years dividend
2. Answer pelase with 100% surity True false..and tell why it is false or true
1. Most futures contracts are settled with actual delivery of an asset.
2. The cost of borrowed money will increase the cost of carrying an asset.
3. A speculator wants to avoid as much risk as possible.