BVI Corporation Had Net Income of $1,600,000 and Paid Dividends

question 208

Multiple Choice

BVI Corporation had net income of $1,600,000 and paid dividends to common stockholders of $320,000 in 2017. The weighted average number of shares outstanding in 2017 was 500,000 shares. BVI Corporation's common stock is selling for $50 per share on the NASDAQ. BVI Corporation's payout ratio for 2017 is

• A) $5 per share.
• B) 20%.
• C) 32%.
• D) 5%.

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Definitions:

High-Level Languages

High-level languages are programming languages designed to simplify computer programming by allowing a more natural language expression closer to human language, compared to low-level programming languages.

Machine Language

A low-level programming language that is directly understood by the computer's CPU, consisting of binary or hexadecimal instructions.

Low-Level Language

A Low-Level Language is a programming language that provides little or no abstraction from a computer's instruction set architecture, closer to machine code.

% Modulus

The operator used in arithmetic to find the remainder of division between two integers.