Question: The payout ratio is calculated by dividing a . dividends per share by earnings per share and dividing cash dividends by net income less preferred

The payout ratio is calculated by dividing
a. dividends per share by earnings per share and dividing cash dividends by net income less preferred dividends.
b. dividends per share by earnings per share.
c. cash dividends by net income less preferred dividends.
d. cash dividends by the market price per share.

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