Anyone good at economics?

[johnjohn320]

Alright, I have Econ at 7 in the morning, and gazing at my notes I can't make sense of this. Let's say I have a stock. I have a div %, the number of shares I bought at how much per share (and thus the total amount of money invested in that stock). I now have to find the total dividend payout, which according to my notes is the "total dividend divided by 6." Why 6? I dont know, but for the sake of this paper I won't argue. So, my question is, how do I find the total dividend, given only the div %?

 

[ElFenix]

sounds like an accounting question, not economics.

 

[johnjohn320]

Originally posted by: ElFenix
sounds like an accounting question, not economics.

Thanks for the help. hehe. I kid. I dunno, man, the class is called Economics. Shrug.

 

[CPA]

Assuming your dividend % means Dividend Payout Ratio, they to complete the problem you need to know total earnings.

Total dividends = % x total earnings


Your notes don't sound right, based on what you wrote your formula would be Total Dividend = Total Dividend / 6. That can't be right.

 

[luvya]

This is not econ stuff. I refuse to help :|😛

 

[Orsorum]

Dividend yield = $ dividend / $ share price; you have the total number of shares, the total amount of money invested in the stock, and the dividend yield.

You need to backsolve for the $ dividend, or $ dividend (per share) = $ share price * dividend yield.

This is assuming zero dividend growth. Also, to get the $ total of dividends paid out, just multiply that $ dividend per share by the number of shares.

Your formula sucks, btw. 😛

EDIT: decomplicated it.

 

[Orsorum]

Did it work?

 

[GasX]

total dividend = yield% * share price * # of shares

 

[JoPh]

i just got out from my econ final. macro theory. and i dont see how this is economics.