Dinocom Inc. earned $250 million last year and paid out 25% of earnings in dividends. a. By

Question:

Dinocom Inc. earned $250 million last year and paid out 25% of earnings in dividends.

a. By how much did the company’s retained earnings increase?

b. With 50 million shares outstanding and a stock price of $60, what was the dividend yield?

Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...