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The financial manager of Future corporation wants to determine the Plow back ratio of the company. He has the following information: Earnings before interest and

The financial manager of Future corporation wants to determine the Plow back ratio of the company. He has the following information: Earnings before interest and tax $16,480 Interest expense $900 Tax rate 25% Dividend $2,740 Calculate the Plow back ratio. (a) The Plow back ratio is 55%. (b) The Plow back ratio is 25%. (c) The Plow back ratio is 77%. (d) The Plow back ratio is 60%.

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