What is the payout ratio, What is the payout ratio? Note: Please explain comprehensively, Finance Basics

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What is the payout ratio

Question:

A firm earned $10 million last year and retained $6 million. It has 5 million shares outstanding, and the current price of shares is $30 per share.

Required:

What is the payout ratio?

Note: Please explain comprehensively and give step by step solution.

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Finance Basics: What is the payout ratio

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Finance Basics: What is the payout ratio

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