Question - The following financial information is available for Thompson Corporation.
(in millions)
2012 2011
Average common stockholders' equity $2,532 $2,591
Dividends declared for common stockholders 298 611
Dividends declared for preferred stockholders 40 40
Net income 504 555
Calculate the payout ratio and return on common stockholders' equity ratio for 2012 and 2011. Comment on your findings.