A firm has sales of $529,000 for the year. The profit margin is 3.4 per cent, and the retention ratio is 60 per cent. What is the common-size percentage for the dividends paid? A. 0.99 per cent B. 1.18 per cent C. 1.21 per cent D. 1.36 per cent E. 1.42 per cent

Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter7: Analysis Of Financial Statements
Section: Chapter Questions
Problem 6P
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Provide answer general accounting question

A firm has sales of $529,000 for the year. The
profit margin is 3.4 per cent, and the retention
ratio is 60 per cent. What is the common-size
percentage for the dividends paid?
A. 0.99 per cent
B. 1.18 per cent
C. 1.21 per cent
D. 1.36 per cent
E. 1.42 per cent
Transcribed Image Text:A firm has sales of $529,000 for the year. The profit margin is 3.4 per cent, and the retention ratio is 60 per cent. What is the common-size percentage for the dividends paid? A. 0.99 per cent B. 1.18 per cent C. 1.21 per cent D. 1.36 per cent E. 1.42 per cent
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