Comparative Dividend Information In evaluating companies for possible investment alternatives, Sarah acquired the following data on Buggy Whip Corporation and Ace Computer Company:

a. What amount of dividends per share was received by current shareholders of each company?

b. What was the dividend payout ratio for each company?

c. What was the dividend yield for each company?

d. Are the dividend payout and dividend yield ratios of Buggy Whip Corporation and Ace Computer Company consistent with expectations for companies in a mature industry or a rapidly growing industry? Explain.

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Buggy Ace Whip Computer Net income for current period $120,000 $100,000 Dividends paid in current period 86.000 15.000 Market price of shares 35 45 Book value per share 30 16 Par value per share 7 2 Total number of shares outstanding 20,000 10,000