Dividend Payout Ratios in Declining Industries Can Often Reach 100

question 19

True/False

Dividend payout ratios in declining industries can often reach 100% of earnings.

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Definitions:

Corporation

A legal entity formed by issuing stock to investors, who are the owners of the corporation.

Certificate

A formal document attesting to a certain fact, such as the completion of an educational process or the ownership of a stock.

Secretary of State

An official in the federal and state governments who is responsible for keeping records, managing governmental documents, and often overseeing elections.

Consolidations

The process of combining two or more entities into one, in terms of financial statements, companies, or assets.