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Basic Question 2 of 13
DJO Inc. has 31,000 shares of stock outstanding with a market price of $15 per share. If net income for the year is $155,000 and the retention ratio is 80%, what is the dividend per share on DJO Inc.'s stock?
B. it is $1.00
C. it is $1.89
A. it is $1.25
B. it is $1.00
C. it is $1.89
User Contributed Comments 3
| User | Comment |
|---|---|
| katybo | 155.000*0.2/31.000=1 |
| ljamieson | I wish I could do every question in my head. |
| Bootstraper | Mi2 |
Your review questions and global ranking system were so helpful.
Lina
Learning Outcome Statements
compare stable dividend with constant dividend payout ratio, and calculate the dividend under each policy;
describe broad trends in corporate payout policies;
CFA® 2025 Level II Curriculum, Volume 3, Module 16.