lyl My Applic ×MyGateway Home nocced ×Create & Print Schedule/Bill ×° 2017-CC-Fa

Question

lyl My Applic ×MyGateway Home nocced ×Create & Print Schedule/Bill ×° 2017-CC-Fall-Class-Se ttps://edugen.wileyplus.com/edugen/lti/main.uni Return to Blackboar Kimmel, Accounting, 6e Help I System Announcements ment Exercise 11-12 Suppose the following financial information is available for Walgreen Company. 2017 2016 (in millions) Average common stockholders' equity Dividends declared for common stockholders Dividends declared for preferred stockholders Net income $13,040.0 $11,740.0 415 570 1,920 2,220 Calculate the payout ratio and return on common stockholders' equity for 2017 and 2016. (Round answers to t decimal place, e.g. 12.5%.) 2017 2016 Payout ratio Return on common stockholders' equity LINK TO TEXT SAVE FOR LATER Question Attempts: O of 5 used Question Attempts: 0 of S used SAVE FOR LATER SUBMIT ANSWER aPolicy I 2000-2012 ohn wieyasons.Inc. All Rights Reserved. A Division of

Explanation / Answer

Payout Ratio = Total Dividend / Net Income              2,017              2,016 Payout Ratio =    Total Dividends $       570.00 $       415.00 Divide By   "/" By "/" By Net Income = $   1,920.00 $   2,220.00 Payout Ratio =                 0.297              0.187 Payout Ratio in % =    29.7% 18.7% Return on Common Stockholder's Equity = Net Income - Preferred Dividends / Average Commonshareholder's Equity              2,017              2,016 Return on Common Stockholder's Equity =   Net income - Preferred Dividends= $   1,920.00 $   2,220.00 Divide By   "/" By "/" By Average Commonshareholder's Equity           13,040           11,740 Return on Common Stockholder's Equity =                0.147              0.189 Return on Common Stockholder's Equity in %=   14.7% 18.9%

Related Questions

Navigate

• Browse (All)
• Browse L
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.