Tulia Dairy pays a $2 50 cash dividend and earns $5 per share The cash dividend has recently been increased to $2 65 per share, and a 3 percent stock dividend has been declared What is the effective rate of increase in the dividends for Tulia as a result of this action ...

Tulia Dairy pays a $2.50 cash dividend and earns $5 per share. The cash dividend has recently

Question:

Tulia Dairy pays a $2.50 cash and earns $5 per share. The cash has recently been increased to $2.65 per share, and a 3 percent stock has been declared. What is the effective rate of increase in the dividends for Tulia as a result of this action?

Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...