Mortal Inc. expects to have a capital budget of $575,000 next year. The company wants...
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Mortal Inc. expects to have a capital budget of $575,000 next year. The company wants to maintain a target capital structure with 35% debt and 65% equity, and its forecasted net income is $500,000. If the company follows the residual dividend model, how much in dividends, if any, will it pay? a) $118,675 b) $111,100 $113,625 $126,250 e) $132,563
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