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Description: Suppose a firm is paying dividend of $500000 out of net income of $2 million. What is the firm's payout ratio?

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Suppose a firm is paying dividend of $500000 out of net income of $2 million. What is the firm's payout ratio?

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter6: Accounting For Financial Management

Section: Chapter Questions

Problem 3Q: If a “typical” firm reports $20 million of retained earnings on its balance sheet, can the firm...

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