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A firm's dividend payout ratio is defined as the percentage of the residual cash flow paid to the shareholders in the form of a dividend.
A firm's dividend payout ratio is defined as the percentage of the residual cash flow paid to the shareholders in the form of a dividend. Suppose that a particular stock, with a residual cash flow of $3.00 per share, has paid a dividend of $0.60 per share. In this case, what is the stock's dividend payout ratio? %
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