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What factors taken into consideration while determining payout ratio?
Wiki User
∙ 9y ago
Payout ratios vary widely when consideration of the company is taken into. Some companies reinvest their payouts to better the company, while others determine payout ratio to their investors.
Wiki User
∙ 9y ago
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What are some factors that should managers take into consideration when using financial ratio analysis to make decisions?
Jake derbyshire.
Would you expect a company in a rapidly growing technological industry to have a high or low dividend payout ratio?
In rapidly growing industries companies tries to pay no or low dividend becasue they want to retain the profit for investment in future profitable opportunities.
A low dividend payout ratio promotes the welfare of stockholders because long-term capital gains are treated more favourably than dividends income from the tax point?
low dividend is equal to the minor accounting that have to long term piriod that is to or more liabilities that is the dividend
What is cash coverage ratio?
The cash coverage ratio is useful for determining the amount of cash available to pay for interest, and is expressed as a ratio of the cash available to the amount of interest to be paid.To calculate the cash coverage ratio, take the earnings before interest and taxes (EBIT) from the income statement, add back to it all non-cash expenses included in EBIT (such as depreciation and amortization), and divide by the interest expense. The formula is: Earnings Before Interest and Taxes + Non-Cash Expenses Interest Expense.
A ratio that has a value of one?
There is not a ratio that has the value of one. A ratio is assets over liabilities.
Do most companies set a target dividend payout ratio?
Yes, many modern companies set a target dividend payout ratio. A target dividend payout ratio is used to determine what ratio of profits is paid out to the shareholders.
In what situation the company follow low medium or high medium payout ratio?
in what situation the company follow low medium or high medium payout ratio
A company with a higher dividend payout ratio will have what kind of debt to assets ratio?
high
What factors should you consider when planning a detainee movement and determining the guard to - detainee ratio?
To determine the best guard-to-detainee ratio, the following things would be good to consider:The nature of the crimes of the detaineesThe level of security of the prisonThe size of the prisonThe amount of rooms in the prisonThe number of detainees
What are some factors that should managers take into consideration when using financial ratio analysis to make decisions?
Jake derbyshire.
What are used as conversion factors for determining how much of an element is produced in a chemical reaction?
mole ratio of two substances in the balanced equation.
Do companies have some notion of a target payout ratio?
Yes depending on the level of profitability
Which method of determining turn ratio is more accurate and why?
Which method of determining turn ratio is more accurate and why?
What is the primary determinants of a firm's value?
- shareholder's wealth - growth - dividend-payout ratio - leverage -
What is the axial ratio antenna?
axial ratio is a prarameter for determining how good circular polarisation
What is the advantage of slope ratio method in determining moie ratio between metal and ligand?
determination of metal to ligand ratio by slope ratio method
Determine beacon score?
Determining a beacon score is difficult, they use a number of factors: Credit history length Payment history Credit utilization ratio Types of credit used
