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10. The Mores Clothing Depot maintains a debt-equity ratio of.50 and follows a residual dividend policy. The firm needs $2,700 for new investments next year.
10. The Mores Clothing Depot maintains a debt-equity ratio of.50 and follows a residual dividend policy. The firm needs $2,700 for new investments next year. The after-tax earnings this year are $1,700. What is the amount that the Clothing Depot will pay out in dividends for this year? A. $0 B. $100 C. $350 D. $650 E. $1,000 5. The board of directors of DDT Inc. declared a dividend of $0.75 per share payable on Monday, January 28 to shareholders of record as of Monday, January 14. You owned 500 shares of DDT on Wed nesday, January 9 when the price was $7.50 per share. Under TSX rules and assuming no taxes and perfect markets, if you sell your 500 shares of DDT on Friday, January 11, what price will you receive, all else the same? A. $3,000 B. $3,375 C. $3,500 D. $3,750 E. $4,250 SesameSweet Inc.has 220,000 shares outstanding with a market price of $12 per share. On the balance sheet. common stock is $760,000, and retained earnings are $275,000. There are no transactions costs
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