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  • A payout is a sum of money, especially a large one, that is paid to someone, for example by an insurance company or as a prize. payout in Insurance. A payout is a sum of money paid to a policyholder when a claim is accepted.
  • The payout, or payback period, is calculated by dividing the initial investment by the cash inflow per period. If company A spends $1 million on a project that saves $, a year for the next five years, the payout period is calculated by dividing $1 million by $, The answer is two, which means the project will pay for.

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Payout Meaning

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  1. payout definition, meaning, what is payout: a large amount of money that is paid to someone. Learn more.:
    Payout definition, an act or instance of paying, expending, or disbursing. See more. These example sentences are selected automatically from various online news sources to reflect current usage of the word 'payout.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback. Define pay out. pay out synonyms, pay out pronunciation, pay out translation, English dictionary definition of pay out. v. paid, pay·ing, pays v. tr. 1. To give money to in return for goods or services rendered: pay the cashier. 2. To give in exchange for goods or services.
  2. Define payout. payout synonyms, payout pronunciation, payout translation, English dictionary definition of payout. n. 1. The act or an instance of paying out. 2. A percentage of corporate earnings that is paid as dividends to shareholders. n . 1. an act or instance of.:
    Definition of payout - a large payment of money, especially as compensation or a dividend. payout meaning, definition, what is payout: a large payment of money to someone, for: Learn more. Definition of payout: A taxable payment declared by a company's board of directors and given to its shareholders out of the company's current or.
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To discharge or settle a debt or obligation: To bear a cost or penalty, for example in recompense: She paid the price for her unpopular opinions. To yield as a return: To afford an advantage to; profit: It paid us to be generous. To give or bestow: To give money in exchange for goods or services. To bear a cost or penalty in recompense: You'll pay for this mischief!

To be profitable or worthwhile: It doesn't pay to get angry. Of, relating to, giving, or receiving payments. Requiring payment to use or operate: Yielding valuable metal in mining: The act of paying or state of being paid. Your thanks are pay enough. A person considered with regard to his or her credit or reliability in discharging debts. To pay or return what is owed as a debt.

The payout ratio is calculated with the following formula: The payout ratio can also include share repurchases, in which case the formula is: The cash amount paid out to dividends can be found on the cash flow statement in the section titled cash flows from financing.

Dividends and stock repurchases both represent an outflow of cash and are classified as outflows on the cash flow statement. Payout may also refer to the capital budgeting tool used to determine the number of years it takes for a project to pay for itself. Projects that take a longer period of time are considered less desirable than projects that take a shorter time period. The payout, or payback period, is calculated by dividing the initial investment by the cash inflow per period.

The answer is two, which means the project will pay for itself in two years. Dictionary Term Of The Day. A group of securities that exhibit similar characteristics, behave similarly in the Broker Reviews Find the best broker for your trading or investing needs See Reviews.

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Payout definition, an act or instance of paying, expending, or disbursing. See more. Define payout: the act of paying out: payoff. payout meaning, definition, what is payout: a large amount of money that is paid to someone. Learn more.

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PE Ratio, Dividend Yield, Dividend Payout