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The retention ratio is defined as: a.1 tax rate b.Tax rate(Depreciation Expense) c.Dividends / Earnings after taxes d.1 dividend payout ratio 10. Calculate the contingent
The retention ratio is defined as:
a.1 tax rate
b.Tax rate(Depreciation Expense)
c.Dividends / Earnings after taxes
d.1 dividend payout ratio
10. Calculate the contingent liability (option overhang) given the number of options are 50. The market
price is $75; exercise price is $60 and the firms tax rate is 30 %.
a.$875
b.$525
c.$375
d.$175
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