Tito Corporation Had Net Income of $2,000,000 and Paid Dividends

question 154

Multiple Choice

Tito Corporation had net income of $2,000,000 and paid dividends to common stockholders of $300,000 in 2022.The weighted-average number of shares outstanding in 2022 was 400,000 shares.Tito Corporation's common stock is selling for $50 per share on the NASDAQ.Tito Corporation's payout ratio for 2022 is

• A)$5 per share.
• B)12%.
• C)15%.
• D)7%.

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Definitions:

Preconceived Beliefs

Assumptions or convictions formed before having the evidence for their truth or usefulness, often influencing perception and decision-making.

Charismatic Leadership

A leadership style characterized by an individual's ability to inspire and motivate others based on their personal charm and persuasion.

Referent Power

A form of influence based on personal traits and relationships rather than formal authority, where followers identify with, like, or respect the leader.

Strategic Vision

A clear and aspirational view of the future state that an organization or individual aims to achieve.