Quasar Corporation Had Net Income of $210000 and Paid Dividends

question 182

Multiple Choice

Quasar Corporation had net income of $210000 and paid dividends to common stockholders of $63000 in 2017. The weighted average number of shares outstanding in 2017 was 50000 shares. Quasar Corporation's common stock is selling for $30 per share on the New York Stock Exchange. Quasar Corporation's payout ratio for 2017 is

• A) 24%.
• B) 30%.
• C) 26%.
• D) $3.33 per share.

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Definitions:

Read/Write Head

The mechanism that retrieves (reads) and records (writes) the magnetic data to and from a data disk.

Access Time

The duration required to retrieve data from a storage device or memory.

Seek Time

The time it takes for the hard drive’s read/write heads to move over the surface of the disk to the correct track.

Latency

The delay before a transfer of data begins following an instruction for its transfer; it is often used to describe delays in network communication.