Sperle Corporation Has Provided the Following Data Concerning Its Stockholders

question 221

Multiple Choice

Sperle Corporation has provided the following data concerning its stockholders' equity accounts: Net income for Year 2 was $30,400. Dividends on common stock during Year 2 totaled $6,400. The market price of common stock at the end of Year 2 was $3.08 per share.The company's dividend payout ratio for Year 2 is closest to: (Round your intermediate calculations to 2 decimal places.)

• A) 1.6%
• B) 21.1%
• C) 2.6%
• D) 14.7%

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Definitions:

Catastrophizing

Believing that bad events are all-encompassing.

Bad Events

Negative occurrences or experiences that can induce stress, trauma, or emotional distress in individuals.

Pessimistic Explanatory Style

A tendency to explain negative events in a way that attributes them to stable, internal, and global causes.

Interpret Bad Events

The cognitive process of explaining and assigning meaning to negative occurrences or adversity.