In 2014, W Co Had a Dividend Yield Ratio of 0.3

question 13

Multiple Choice

In 2014, W Co had a dividend yield ratio of 0.3% and J.C. Co. reported a yield of 6.9%. What is the most likely reason for W Co's relatively low dividend yield in comparison to J.C. Co's ratio?

• A) W Co does not have sufficient retained earnings to support declaring a dividend.
• B) W Co does not generate sufficient operating profit to support declaring a dividend.
• C) W Co does not generate sufficient cash from operations to be able to pay a dividend.
• D) W Co is paying little in dividends because it continues to grow through expansion of store locations financed by operations.

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Definitions:

Psychological Groups

Collections of individuals who are connected through shared beliefs, emotional bonds, or collective behaviors, influencing each other's psychological states.

Cohesive Groups

Groups characterized by strong bonds and mutual respect among members, leading to increased collaboration and productivity.

Emergent Groups

Groups that form spontaneously based on shared interests or goals, especially in response to specific events or conditions.

Formal Groups

Groups in an organization created officially by the management to perform specific tasks or achieve certain objectives.