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Finra Series-7 Exam - Topic 5 Question 75 Discussion

Actual exam question for Finra's Series-7 exam
Question #: 75
Topic #: 5
[All Series-7 Questions]

A company earns $6 per share and pays out 20% in common stock dividends.

What does the stock yield if it sells at $30 per share?

Show Suggested Answer Hide Answer
Suggested Answer: B

4%. The dividend is $1.20 per share ($6 x 20%). Divide this by the stock price to obtain the yield.


by Thurman at Oct 04, 2023, 10:26 AM

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Melvin
3 months ago
Wait, are we sure about those numbers?
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Isaiah
3 months ago
Definitely going with option B, seems right.
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Angella
3 months ago
I thought it would be higher, honestly.
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Jesse
4 months ago
That’s a 4% yield at $30!
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Viva
4 months ago
The company pays out $1.20 in dividends.
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Arletta
4 months ago
If the company pays out 20% of $6, that’s $1.20 in dividends. Dividing that by $30 gives us a yield of 4%, right?
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Kallie
4 months ago
I’m a bit confused about how to approach this. Is it just the dividend percentage or do we need to factor in the earnings too?
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Virgie
4 months ago
I remember a similar question where we had to find the yield based on earnings and dividends. I think the yield here might be around 4%.
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Yasuko
5 months ago
I think the stock yield is calculated by dividing the dividend by the stock price, but I'm not entirely sure about the exact numbers.
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Rex
5 months ago
I'm a little unsure about this one. I know the stock yield is the dividend per share divided by the stock price, but I'm not sure how to calculate the dividend per share from the information given. I'll need to review the concepts around dividends and stock yields before I can confidently answer this question.
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Wynell
5 months ago
Okay, let me walk through this step-by-step. The company earns $6 per share, and pays out 20% of that in dividends. So the dividend per share is 20% of $6, which is $1.20. The stock price is $30 per share. To calculate the stock yield, I need to divide the dividend per share by the stock price, which gives me $1.20 / $30 = 0.04 or 4%. I think I've got it!
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Krissy
5 months ago
I've got this! The stock yield is the dividend per share divided by the stock price, expressed as a percentage. So if the company earns $6 per share and pays out 20% in dividends, that's $1.20 per share. And the stock price is $30, so the stock yield is $1.20 / $30 = 0.04 or 4%. Easy peasy!
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Ulysses
5 months ago
Hmm, I'm a bit confused. The question is asking for the stock yield, but it's not clear to me how to calculate that from the information given. I'll need to think this through carefully and make sure I understand the concepts before answering.
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Wade
5 months ago
Okay, let me think this through. The company earns $6 per share and pays out 20% in dividends. So the dividend per share is 20% of $6, which is $1.20. The stock sells at $30 per share, so the stock yield would be the dividend per share divided by the stock price, which is $1.20 / $30 = 0.04 or 4%.
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Antione
5 months ago
I think the client-side components of Oracle Data Guard Broker are the Oracle Enterprise Manager Cloud Control and the Oracle Data Guard command-line interface (DGMGRL). The other two options don't sound like client-side components to me.
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Catalina
5 months ago
Okay, I think I've got this. The functionality part of the spec would define the actual tasks and capabilities of the site, like a detailed product search or shopping cart management. So I'm going to go with option B.
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Arletta
5 months ago
I think reviewing bank statements relates to bank reconciliation, but I'm not entirely sure.
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Sharika
5 months ago
Ah, I know this one! The correct answer is B - a CI pipeline enables a faster feedback loop. That's one of the main reasons organizations implement CI, to get quicker feedback on their code changes and catch issues earlier in the development process.
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Virgina
5 months ago
Hmm, this seems like a tricky one. I'll need to think through the different Cisco ISE personas and their storage requirements.
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