Loose Leaf for Foundations of Financial Management Format: Loose-leaf
Loose Leaf for Foundations of Financial Management Format: Loose-leaf
17th Edition
ISBN: 9781260464924
Author: BLOCK
Publisher: Mcgraw Hill Publishers
bartleby

Videos

Question
Book Icon
Chapter 18, Problem 3P
Summary Introduction

To calculate: The increase in the retained earnings of Swank Clothiers.

Introduction:

Payout Ratio:

The ratio that shows the total dividends paid by a company to its shareholders with respect to its net income is the payout ratio. It is computed by dividing the dividends paid by the company by its net income for the respective period.

Retained Earnings:

Retained earnings is the portion of profits earned by a business that is not disbursed as dividends to the shareholders by the company so that it can be used for future investments.

Blurred answer
Students have asked these similar questions
The newspaper reported last week that Chen Enterprises earned $34.03 million this year. The report also stated that the firm’s return on equity is 12 percent. The firm retains 80 percent of its earnings.    a. What is the firm's earnings growth rate?  b. What will next year's earnings be?
​Bryley, Inc. earned a net profit margin of 5.5 percent last year and had an equity multiplier of 2.56. If its total assets are $105 million and its sales are $142 ​million, what is the​ firm's return on​ equity?
Mirrlees Furniture earned $750,000 last year and had a 30% dividend payout ratio. How much did the firm add to its retained earnings?
Knowledge Booster
Background pattern image
Finance
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, finance and related others by exploring similar questions and additional content below.
Similar questions
SEE MORE QUESTIONS
Recommended textbooks for you
Text book image
Essentials Of Investments
Finance
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Mcgraw-hill Education,
Text book image
FUNDAMENTALS OF CORPORATE FINANCE
Finance
ISBN:9781260013962
Author:BREALEY
Publisher:RENT MCG
Text book image
Financial Management: Theory & Practice
Finance
ISBN:9781337909730
Author:Brigham
Publisher:Cengage
Text book image
Foundations Of Finance
Finance
ISBN:9780134897264
Author:KEOWN, Arthur J., Martin, John D., PETTY, J. William
Publisher:Pearson,
Text book image
Fundamentals of Financial Management (MindTap Cou...
Finance
ISBN:9781337395250
Author:Eugene F. Brigham, Joel F. Houston
Publisher:Cengage Learning
Text book image
Corporate Finance (The Mcgraw-hill/Irwin Series i...
Finance
ISBN:9780077861759
Author:Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan Professor
Publisher:McGraw-Hill Education
Dividend explained; Author: The Finance Storyteller;https://www.youtube.com/watch?v=Wy7R-Gqfb6c;License: Standard Youtube License