Examlex
Discuss the various purposes of performance management systems.
Dividend Payout Ratio
The dividend payout ratio is the fraction of net income a firm pays to its shareholders in dividends, expressed as a percentage of the company's total net income.
Retained Earnings
The portion of net income that is retained by the company rather than distributed to its shareholders as dividends.
Profit Margin
A financial metric that measures the percentage of revenue remaining after all expenses have been deducted from sales.
External Financing Need
The requirement for funds from sources outside the business, such as loans or equity financing, to support operations or growth.
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