1. Kohl’s earned $720 million last year and paid out 25 percent of earnings in dividends.
a. By how much did the company’s retained earnings increase?
b. With 100 million shares outstanding and a stock price of $90, what was the dividend yield?
2. Joey realizes that he has charged too much on his credit card and has racked up $4,300 in debt. If he can pay $125 each month and the card charges 18 percent APR (compounded monthly), how long will it take him to pay off the debt?