Colorado Company has equity of $4,000,000 and a net income of $150,000. It has a payout ratio of 25% and a return on assets of 12%. How much did Colorado pay in cash dividends, and what were its average assets

Intermediate Financial Management (MindTap Course List)
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Chapter7: Analysis Of Financial Statements
Section: Chapter Questions
Problem 12P: The Kretovich Company had a quick ratio of 1.4, a current ratio of 3.0, a days’ sales outstanding of...
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Colorado Company has equity of $4,000,000 and a net income of $150,000. It has a payout ratio of 25% and a return on assets of 12%. How much did Colorado pay in cash dividends, and what were its average assets?

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