What is the retention ratio

Assignment Help Financial Management
Reference no: EM131535479

Evil Genius Electronic games company has Return on Equity of 24% and the dividend growth rate is 10%

Part A. What is the retention ratio? Part B. If company earnings were $3.45, calculate the dividends that were paid out to shareholders?

Reference no: EM131535479

Questions Cloud

What must the expected return on stock be : What must the expected return on this stock be?
Compute two values at expiration of a european call option : What are the intrinsic values at expiration of a European call option if the stock goes up and down? Compute two values at expiration of a European call option.
What is expected return on the portfolio : If the expected returns on these stocks are 9 percent and 9 percent, respectively, what is the expected return on the portfolio?
What is company target debt–equity ratio : What is the company’s target debt–equity ratio?
What is the retention ratio : What is the retention ratio? If company earnings were $3.45, calculate the dividends that were paid out to shareholders?
Using the same discount rate to evalauate all projects : Using the same discount rate to evalauate all projects within a multi-business company can lead to.
What is the npv of project in worst-case scenario : We are evaluating a project that costs $1123730, has a seven-year life, and has no salvage value. What is the NPV of the project in worst-case scenario?
How does the fed influence monetary policy : How does the Fed influence monetary policy? Include a short discussion of the organizational structure of the Fed.
Amount for amortization of premium in the fourth coupon : The amount for amortization of premium in the fourth coupon was $1, 046.79. Find the price of the bond.

Reviews

Write a Review

Financial Management Questions & Answers

  Analyzing the projects net present value

Assume a healthcare organization is analyzing a capital investment project with greater risk than that of the organization’s average project. Which of the following cost of capital alternatives would be most appropriate for analyzing the project’s ne..

  What is maximum amount of short-term loan the firm

What is the maximum amount of short-term loan the firm will need during the relevant time period?

  How many families must you survey

How many families must you survey if you want to be 99% sure that your estimate of the relevant proportion is accurate within 2%?

  Considering a project with an initial cost

You are considering a project with an initial cost of $7,800. What is the payback period for this project if the cash inflows are $1,100, $1,640, $3,800, and $4,500 a year over the next four years, respectively?

  Use the equivalent annual cost approach to evaluate

A company wishes to select the best of three possible computers, each expected to meet the University's growing need for computational and storage capacity. The three computers— A, B, and C—are equally risky. Calculate the NPV for each computer over ..

  How much one will be your account three years

How much one will be your account three years from today, if you deposit $1000 today, $2000 from today and $ 2500 two years from today. Given that the interest rate is 6% compounded annually?

  What is the current value of the call option

This morning, you purchased a call option on Schoolhouse Supply Co. stock that expires in one year. The exercise price is $37.60. The current price of the stock is $53.70 and the risk-free rate of return is 3.1 percent. Assume that the option will fi..

  Financial lease-purchase criteria should be treated on book

A financial lease that meets purchase criteria should be treated on the books of the organization as:

  IRR methodology compared to the NPV methodology

It is important for managers to accept positive NPV projects. What are some problems with the IRR methodology compared to the NPV methodology?

  Absorbed overhead was from excessive actual overhead costs

Sail New England told you that the under-absorbed overhead was from excessive actual overhead costs caused by a spy from their chief competitor,

  Channeling idle funds from net savers to corporations

Channeling idle funds from net savers to corporations that put the funds to productive use is referred to as:

  What is its sustainable rate of growth

Stop and Shop Supermarkets has a 4.5% profit margin and a 15% dividend payout ratio. The total asset turnover is 1.6 and its debt-equity ratio is 0.5. What is its sustainable rate of growth?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd