Presented Below Are Selected Data from the Financial Statements of Provost

Multiple Choice

Presented below are selected data from the financial statements of Provost Corp. $\begin{array} { lr r }& \underline { 2017 } & \underline { 2016 } \\\text {Net income }& \$ 110,000 & \$ 123,000 \\\text { Cash dividends paid on common stock}& \$ 42,000 & \$ 38,000 \\\text { Market price per share of common stock at the end of the year}& \$ 16.00 & \$ 13.00 \\\text {Shares of common stock outstanding }& 140,000 & 140,000 \end{array}$ The dividend payout ratio for 2017 is

A) 1.8%
B) 30.0%
C) 36.3%
D) 38.0%