JUJU's dividend next year is expected to be $1.50. It is trading at $45 and is expected to grow at 9 percent per year. What is JUJU's dividend yield and capital gain

3.33%; 9%

Explanation:

Given that,

Expected dividend next year = $1.50

Trading at = $45

Expected growth rate per year = 9 percent

Dividend yield = (Expected dividend next year : Trading amount) * 100

= ($1.50 : $45) * 100

= 0.0333 * 100

= 3.33%

The capital gain of JUJU is same as the expected growth rate i. e 9 percent.