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What could be a consequence of a company changing its dividend payout ratio frequently?
What could a sudden decrease in dividend payouts indicate for a company with historically consistent distributions?
Why might a company choose not to pay dividends and instead reinvest earnings?
A company has net income of \$500,000 and pays \$100,000 in cash dividends. What is the dividend payout ratio?
What does a dividend payout ratio below 100% typically indicate?
What does a low dividend payout ratio suggest about a company's strategy?
If a company has net income of \$900,000 and pays \$180,000 in dividends, what is the dividend payout ratio?
What does the dividend payout ratio measure?
How can the dividend payout ratio be used to assess a company's financial health?
Why is a dividend payout ratio above 100% generally considered unsustainable?