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Winston Co. has a dividend-paying stock with a total return for the year of -6.5 percent. Which one of the following must be true? a.

Winston Co. has a dividend-paying stock with a total return for the year of -6.5 percent. Which one of the following must be true?

a. The dividend must be constant.

b. The stock has a negative capital gains yield.

c. The dividend yield must be zero.

d. The required rate of return for this stock increased over the year.

e. The firm is experiencing supernormal growth.

ANSWER: B

Could u tell me why the answer is B and why the other are wrong, coz i need the explanation. thank you

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