Payout

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Return on investment equal to the original marketing expenditure; also known as payback. When a company recovers its investment plus the expected built-in return from launching or reintroducing a new product or service, it has realized a profit from its original capital outlay. A company's payout, therefore, represents the minimum amount of dollar sales that must be generated to offset the cost of an advertising program. See also break-even analysis.

Return on investment equal to the original marketing expenditure; also known as payback. When a company recovers its investment plus the expected built-in return from launching or reintroducing a new product or service, it has realized a profit from its original capital outlay. A company’s payout, therefore, represents the minimum amount of dollar sales that must be generated to offset the cost of an advertising program.
See also break - even analysis.

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The expected financial return from an investment over a given period of time. Payout may be expressed on an overall or periodic basis as either a percentage of the investment's cost or in a real dollar amount. Payout can also refer to the period of time in which an investment or a project is expected to recoup its initial capital investment and become minimally profitable.

Short for "time to payout", "term to payout" or "payout period". 



Investopedia Says:
In terms of financial securities like annuities and dividends, payouts refer to the amounts received at given points in time. For example, in the case of an annuity, payouts are made to the annuitant at regular intervals such as monthly or quarterly. With dividends, payouts are made by corporations to their investors and can be in the form of cash dividends or stock dividends.

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In a tournament game the Payout is the amount of money which is awarded to a winning player from the prize pool.

SoundPoker Says: The Payout structure varies depending on the tournament due to the wide variety in the number of players participating and the buy in cost.

For example, in a small home game tournament the payout structure for an 8 man game could be 40% for first place, 30% for second place and 20% 3rd place.

See Also: Buy In, Home Games, In The Money, On The Bubble, Prize Pool

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Payout Ratio (business term)
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