The following information is available for Kingbird Corporation. Average common stockholders' equity Average total stockholders' equity Common dividends declared and paid Preferred dividends declared and paid Net income 2025 $1,300,000 1,600,000 46,500 40,000 150,000 2024 $800,000 1,300,000 28,800 40,000 120,000 Compute the payout ratio and return on common stockholders' equity for each year. (Round answers to O

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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The following information is available for Kingbird Corporation.
Average common stockholders' equity
Average total stockholders' equity
Common dividends declared and paid
Preferred dividends declared and paid
Net income
Payout ratio
2025
Return on common stockholders' equity
$1,300,000
1,600,000
46,500
40,000
150,000
2024
$800,000
1,300,000
2025
28,800
Compute the payout ratio and return on common stockholders' equity for each year. (Round answers to 0 decimal places
15%.)
40,000
120,000
5.7
%
do
%
2024
5.7
%
%
Transcribed Image Text:The following information is available for Kingbird Corporation. Average common stockholders' equity Average total stockholders' equity Common dividends declared and paid Preferred dividends declared and paid Net income Payout ratio 2025 Return on common stockholders' equity $1,300,000 1,600,000 46,500 40,000 150,000 2024 $800,000 1,300,000 2025 28,800 Compute the payout ratio and return on common stockholders' equity for each year. (Round answers to 0 decimal places 15%.) 40,000 120,000 5.7 % do % 2024 5.7 % %
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