Stacy purchased a stock last year and sold it today for $3 a share more than her purchase price

Which one of the following statements best defines the efficient market hypothesis?    A.  Efficient markets limit competition. B.  Security prices in efficient markets remain steady as new information becomes available. C.  Mispriced securities are common in efficient markets. D.  All securities in an efficient market are zero net present value investments. E.  Profits are removed as a market incentive when markets become efficient. Refer to section 12.6

9.

Stacy purchased a stock last year and sold it today for $3 a share more than her purchase price. She received a total of $0.75 in dividends. Which one of the following statements is correct in relation to this investment?    A.  The dividend yield is expressed as a percentage of the selling price. B.  The capital gain would have been less had Stacy not received the dividends. C.  The total dollar return per share is $3. D.  The capital gains yield is positive. E.  The dividend yield is greater than the capital gains yield. Refer to section 12.1

10.

Which one of the following correctly describes the dividend yield?    A.  next year's annual dividend divided by today's stock price B.  this year's annual dividend divided by today's stock price C.  this year's annual dividend divided by next year's expected stock price D.  next year's annual dividend divided by this year's annual dividend E.  the increase in next year's dividend over this year's dividend divided by this year's dividend Refer to section 12.1

11.

Bayside Marina just announced it is decreasing its annual dividend from $1.64 per share to $1.50 per share effective immediately. If the dividend yield remains at its pre-announcement level, then you know the stock price:    A.  was unaffected by the announcement. B.  increased proportionately with the dividend decrease. C.  decreased proportionately with the dividend decrease. D.  decreased by $0.14 per share. E.  increased by $0.14 per share. Refer to section 12.1