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NEW QUESTION: 1
Stargell Industries follows a strict residual dividend policy. The company has a capital budget of
$3,000,000. It has a target capital structure, which consists of 30 percent debt and 70 percent equity. The company forecasts that its net income will be $3,500,000. What will be the company's expected dividend payout ratio this year?
A. 25%
B. 40%
C. 35%
D. 45%
E. 30%
Answer: B
Explanation:
Explanation/Reference:
Explanation:
Step 1 Find equity required to maintain capital budget:
Capital budget$3,000,000
% of budget financed with equityx 0.70
$2,100,000
Step 2 Calculate dividend:
Earnings$3,500,000
Less equity retained(2,100,000)
Dividend$1,400,000
Step 3 Find payout ratio:
Dividend/Earnings = $1,400,000/$3,500,000 = 0.4000 = 40%.

NEW QUESTION: 2
Welcher der folgenden Kabeltypen wird zum Schutz vor Störungen in der physischen Umgebung oder bei Sicherheitsbedenken eingesetzt?
A. RG-6
B. Faser
C. RG-59
D. STP
Answer: B

NEW QUESTION: 3


A. Option B
B. Option A
C. Option C
D. Option D
Answer: B