Quasar Corporation Had Net Income of $210,000 and Paid Dividends

question 91

Multiple Choice

Quasar Corporation had net income of $210,000 and paid dividends to common stockholders of $63,000 in 2020. The weighted average number of shares outstanding in 2020 was 50,000 shares. Quasar Corporation's common stock is selling for $30 per share on the New York Stock Exchange. Quasar Corporation's payout ratio for 2020 is

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

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Definitions:

Heatstroke

A severe form of heat illness that occurs when the body can no longer regulate its temperature, leading to a rapid increase in body temperature, potentially causing serious complications or death.

Life-threatening

Describes a condition or situation that has the potential to cause death if not immediately addressed.

Internal Bleeding

Bleeding that occurs within the body, often invisible from the outside, and can result from injuries, diseases, or conditions like ulcers.