Which One of the Following Correctly Defines the Retention Ratio

question 67

Multiple Choice

Which one of the following correctly defines the retention ratio?

• A)one plus the dividend payout ratio
• B)addition to retained earnings divided by net income
• C)addition to retained earnings divided by dividends paid
• D)net income minus additions to retained earnings
• E)net income minus cash dividends

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Definitions:

Great Ambition

A strong desire to achieve something remarkable or of significant value, often requiring determination and hard work.

Margin of Error

An expression of the amount of random sampling error in a survey's results, indicating a range within which the true value likely falls.

Degree of Confidence

Another term for confidence level, indicating the statistical probability that a parameter lies within a specified range.

Conservative Party

A political party espousing the values of conservatism, focusing on tradition, stability, and free market principles.