what is a dividend rate on checking account
Definition of the Dividend Yield. The dividend yield is determined with this equation: dividend per share/price per share. The yield is the percentage of a stock's market price a company returns in dividends. A stock that pays an annual dividend rate of $5 and is trading at $100 a share has a yield of 5 percent. An increase in the share price to $120 reduces the yield to about 4.1 percent.