SIE Exam Question 586: Answer and Explanation

Question: 586

Rob owns 200 shares of Epsilon stock, which recently announced that it will pay a 4% stock dividend. How many shares will Rob have after the dividend has been paid?

• A. 192 shares
• B. 200 shares
• C. 204 shares
• D. 208 shares

Correct Answer: D

Explanation:

200 shares + (200 shares × 0.04) = 208 shares