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Question
Would you expect a company in a rapidly growing technology industry to have a high or low dividend payout ratio?
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Answered 1 year ago
Step 1
1 of 3In this problem, we are asked to determine whether a company in a rapidly growing technology industry has a high or low dividend payout ratio.
Answered 2 years ago
Step 1
1 of 2A company which is part of rapidly growing technological industry can make a lot of opportunities. Dividends payout ratio is a measure of net income that is paid to the stockholders. Moreover, there is no right or wrong distribution of dividends but investors are mainly concerned on keeping up the trends. Therefore, it is expected that the company will have a low dividend payout ratio than not having a funds for the company's operations.
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