Dividend payout ratio is a ratio that a company pays as dividends to its ordinary shareholders out of its earnings. If a company pays out all of its net profit as dividend then the dividend payout ratio will be 100%. But if the company retains 60% of the net income and pays the rest the dividend payout ratio will be 40%.
Dividend payout ratio is calculated as follows:
Dividend payout ratio = Dividend / Net profit
Assume a company has generated a net income of $25000 and has paid $16000 as a final dividend. The dividend payout ratio will be
Dividend payout ratio = $16000 / $25000 = 64%
Suppose a firm makes the following policy changes. If the change
Ballack Co.’s common stock currently sells for $46.
Use a spreadsheet model to forecast the financial statements in Problems 17
Wingler Communications Corporation (WCC) produces premium stereo headphones that sell
Owen's Electronics has 9 operating plants in seven southwestern states. Sales
A firm wishes to maintain a growth rate of 11.5
McCormac Co. wishes to maintain a growth rate of 12 percent
Austin Grocers recently reported the following 2008 income statement (in millions of
Morrissey Technologies Inc.’s 2008 financial statements are shown here.
Pecunious Products, Inc.’s financial results for the past three
