Plowback Ratio Formula Examples How To Calculate Plowback Ratio
What is Plowback Ratio? This ratio is an indicator of the quantum of profit retained in a business instead of being paid out to the investors. It generally represents the portion of retained earningsRetained EarningsRetained Earnings are defined as the cumulative earnings earned by the company till the date after adjusting for the distribution of the dividend or the other distributions to the investors of the company. It is shown as the part of owner’s equity in the liability side of the balance sheet of the company....