Description: With schools opening all over Canada today, it might be time for investors to look at those bright yellow buses students are boarding this morning. Student Transportation Inc of Barrie, Ontario has been producing better than solid results for investors, particularly in terms of dividend yield, by providing student transportation across North America. Student Transportation Inc actually does about 90% of its business in the United States, with the remainder in Canada.
Date: August 31, 2016; revised September 2, 2016
1) The article discusses dividend yield. Where can you find this ratio discussed in Wiley’s Financial Accounting: Tools for Business Decision-Making? How would you calculate this ratio?
2) What are some of the risks the company faces according to this article?
3) Based on what you see in the first chapter of Wiley’s Financial Accounting: Tools for Business Decision-Making, which financial statement do you think would be the most useful in helping you track those risks?