Rapid Auto Transport (RAT) follows a constant payout ratio dividend policy, which requires the company to pay
Question:
Rapid Auto Transport (RAT) follows a constant payout ratio dividend policy, which requires the company to pay out 30 percent of income as dividends each year. If it wants to pay $840,000 in dividends next year, how much must RAT earn?
DividendA 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...
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Related Book For
Question Posted: