I thought I simply divided the annual rate of 14 by return o

I thought I simply divided the annual rate of 14% by return on equity 22% and came to am answer of 0.636 or 64% and the system is telling me that\'s wrong. please and thank you!

An all-equity-financed firm plans to grow at an annual rate of at least 14%. Its return on equity is 22% what is the maximum possible dividend payout rate the firm can maintain without resorting to additional equity issues? (Do not round intermediate calculations. Enter your answer es a percent rounded to 1 decimal place.) Maximum dividend payout ratio 0 61%

Plowback ratio = Dividend Growth Rate/ROE

= 14%/22%

= 0.6364

Maximum Dividend Payout Ratio = 1- Plowback ratio

= 1 - 0.6364

= 0.3636 or 36.4 %

$I thought I simply divided the annual rate of 14% by return on equity 22% and came to am answer of 0.636 or 64% and the system is telling me that\'s wrong. ple$

I thought I simply divided the annual rate of 14 by return o

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