Question: The retention ratio can be computed as: Multiple Choice 1 Plowback ratio. Change in retained earnings/Cash dividends. 1 + Dividend payout ratio. (Change in retained

The retention ratio can be computed as: Multiple Choice 1 Plowback ratio.

Change in retained earnings/Cash dividends.

1 + Dividend payout ratio.

(Change in retained earnings + Cash dividends)/Net income.

1 (Cash dividends/Net income).

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