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Business, 15.07.2020 03:01 aallyssabrown0120

The capital budget forecast for the Santano Company is $725,000. The CFO wants to maintain a target capital structure of 45% debt and 55% equity, and it also wants to pay dividends of $350,000. If the company follows the residual dividend policy, how much income must it earn, and what will its dividend payout ratio be? Select the correct answer.

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The capital budget forecast for the Santano Company is $725,000. The CFO wants to maintain a target...
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