The following information applies to Benson Company for 2014: Stock market price, December 31, 2014: $50 Common shares outstanding, December 31, 2014:

100,000 Net Income for year 2014: $400,000 Retained Earnings January 1, 2014: $100,000 On December 31, 2014, Benson decides to pay the maximum amount it can in dividends to its shareholders. What is the dividend yield ratio?

Select one:

a. 2%

b. None of the above

c. 10%

d. 8%