Carson Electronics earned $ 2.4 million in net income last year and for the first time ever

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Carson Electronics earned $ 2.4 million in net income last year and for the first time ever paid its common stockholders a cash dividend of $ 0.02 per share. The firm has 10 million shareholders. What was Carson’s dividend payout ratio?
Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...
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Foundations of Finance The Logic and Practice of Financial Management

ISBN: 978-0132994873

8th edition

Authors: Arthur J. Keown, John D. Martin, J. William Petty

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