If general cereal common stock dividend was 0.79 in 2000 and the last dividend paid was 1.55 in 2010, what is the annual growth rate.

Question

If general cereal common stock dividend was 0.79 in 2000 and the last dividend paid was 1.55 in 2010, what is the annual growth rate.

Answer 1

Please do not ask the same question again after it's been answered.

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Answer 2

1.55 - .79 = .76 increase in 10 yrs

0.76/0.79 = 0.962025 = 96.2025% increase in 10 years

96.2025%/10 = annual growth rate

Answer 3

Please use helper's answer. Mine is probably wrong.

Answer 4

I'm not sure either Ms. Sue after seeing your answer.

I multiplied out 10yrs at your rate and your answer is closer.

I have to think about this more.

Answer 5

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Answer 6

To calculate the annual growth rate of General Cereal common stock dividends between 2000 and 2010, you need to use the formula for compound annual growth rate (CAGR). The CAGR formula is:

CAGR = (Ending Value / Beginning Value)^(1 / Number of Years) - 1

In this case, the ending value is the last dividend paid in 2010, which is $1.55, and the beginning value is the dividend paid in 2000, which is $0.79. The number of years between 2000 and 2010 is 10.

Now, let's plug these values into the formula:

CAGR = (1.55 / 0.79)^(1 / 10) - 1

Using a calculator, we can find the CAGR:

CAGR = 0.895^0.1 - 1

CAGR ≈ 0.0640, which is approximately 0.0640 or 6.40%.

Therefore, the annual growth rate of General Cereal common stock dividends between 2000 and 2010 is approximately 6.40%.