a.Explain what the dividend payout ratio is and which firms typically have a high ratio and which firms may have the lowest.
b.Many firms operate at a dividend payout ratio of less than 50%.Why do many firms not pay a larger percentage of income as dividends?

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The Answer of a.Explain what the dividend payout ratio is and which firms typically have a high ratio and which firms may have the lowest.
b.Many firms operate at a dividend payout ratio of less than 50%.Why do many firms not pay a larger percentage of income as dividends?

AExplain What the Dividend Payout Ratio Is and Which Firms