Pate & Co. has a capital budget of $3,000,000. The company wants to maintain a...
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Pate & Co. has a capital budget of $3,000,000. The company wants to maintain a target capital structure that is 15% equity and 85% debt. The company forecasts that its net income this year will be $3,500,000. If the company follows a residual dividend policy, what will be its total dividend payment? Select one: O a. $205,000 O b. $500,000 O c. $950,000 O d. $2,550,000 O e. $3,050,000
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