If the firm's dividend policy was based on a constant payout ratio of 50 percent for all of the years with earnings over P1.50 per share and a zero payout otherwise, the annual dividend for 2020 were

Financial And Managerial Accounting
15th Edition
ISBN:9781337902663
Author:WARREN, Carl S.
Publisher:WARREN, Carl S.
Chapter12: Corporations: Organization, Stock Transactions, And Dividends
Section: Chapter Questions
Problem 8BE: Earnings per share Financial statement data for the years 20Y5 and 20Y6 for Black Bull Inc. follow:...
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If the firm's dividend policy was based on a constant payout ratio of 50 percent for all of the years with earnings over P1.50 per share and a zero payout otherwise, the annual dividend for 2020 were

A firm has had the following earnings history over the last five years:
[Year
2020
2019
2018
2017
2016
Earnings per share
P3.00
P2.00
P1.75
P1.25
-P1.00
Transcribed Image Text:A firm has had the following earnings history over the last five years: [Year 2020 2019 2018 2017 2016 Earnings per share P3.00 P2.00 P1.75 P1.25 -P1.00
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