Calculate Retention Ratio Given the Following Information: Cash Dividends Paid

question 104

Multiple Choice

Calculate retention ratio given the following information: cash dividends paid = $6,000; sales = $100,000; cost of goods sold = $45,000; selling and administrative expenses = $25,000; interest expense = $6,000; tax rate = 30%.

• A) 64.29%
• B) 68.23%
• C) 50%
• D) 31.77%
• E) 35.71%

---

Definitions:

Group Think

An event observed in group settings, where the preference for a harmonious or conforming atmosphere instigates choices that are lacking in logic or functionality.

Strong Leader

An individual who possesses assertiveness, decisiveness, and the ability to motivate and guide others toward achieving specific goals.

Consensus

A general agreement among the members of a given group or community.

Early Studies

Refers to research or academic investigations that are conducted at the initial stages of understanding a phenomenon, often laying the groundwork for future, more detailed exploration.