Specialty Chemicals Company (SCC) pays out 50% of its net income as cash dividends to its shareholders

Question:

Specialty Chemicals Company (SCC) pays out 50% of its net income as cash dividends to its shareholders once each quarter. The company plans to do so again this year, during which SCC earned $100 million in net profits after tax. If the company has 40 million shares outstanding and pays dividends quarterly, what is the company’s dollar payment per share each quarter?
Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...