Wilco Company reports the following: Dividend payout ratio for 2005 was:
$\begin{array} { l c c }
& 2005 & 2004 \
\text { Retained Earnings } & \$ 2,000,000 & \$ 1,300,000 \
\text { Common Stock } & \$ 500,000 & \$ 500,000 \
\text { Paid-in Capital } & \$ 3,000,000 & \$ 3,000,000 \
\text { Net Income for year } & \$ 900,000 & \$ 400,000
\end{array}$
A)27%.
B)12%.
C)22.2%.
D)Not determinable

Question

Wilco Company reports the following: Dividend payout ratio for 2005 was:
$\begin{array} { l c c } 
& 2005 & 2004 \
\text { Retained Earnings } & \$ 2,000,000 & \$ 1,300,000 \
\text { Common Stock } & \$ 500,000 & \$ 500,000 \
\text { Paid-in Capital } & \$ 3,000,000 & \$ 3,000,000 \
\text { Net Income for year } & \$ 900,000 & \$ 400,000
\end{array}$
A)27%.
B)12%.
C)22.2%.
D)Not determinable

Quizplus · Accepted Answer

The Answer of Wilco Company reports the following: Dividend payout ratio for 2005 was:
$\begin{array} { l c c } 
& 2005 & 2004 \
\text { Retained Earnings } & \$ 2,000,000 & \$ 1,300,000 \
\text { Common Stock } & \$ 500,000 & \$ 500,000 \
\text { Paid-in Capital } & \$ 3,000,000 & \$ 3,000,000 \
\text { Net Income for year } & \$ 900,000 & \$ 400,000
\end{array}$
A)27%.
B)12%.
C)22.2%.
D)Not determinable

Wilco Company Reports the Following: Dividend Payout Ratio for 2005