Donner Corporation Had Net Income of $400,000 and Paid Dividends

question 16

Multiple Choice

Donner Corporation had net income of $400,000 and paid dividends to common stockholders of $40,000 in 2013.The weighted average number of shares outstanding in 2013 was 50,000 shares.Donner Corporation's common stock is selling for $50 per share on the New York Stock Exchange.Donner Corporation's payout ratio for 2013 is

• A)$8 per share.
• B)10%.
• C)12.5%.
• D)20%.

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Definitions:

Unconsciousness

A state in which a person is unable to respond to people and activities, often as a result of illness, trauma, or medical conditions.

Integumentary System

The body system that includes the skin, hair, nails, glands, and nerves, acting as a protective covering and aiding in temperature regulation.

Body Temperature

The assessment of the body's capacity to produce and eliminate heat, signifying the equilibrium between heat generation and dissipation.

Food

Any nutritious substance that people or animals eat or drink to sustain life.