A company has forecasted net income to be $600,000. Net income was $400,000 in the prior year, when they also paid dividends of $125,000. What are forecasted dividends if the company wants to keep the payout ratio constant?

Using the tax table provided in Figure 10.3, determine the average and marginal tax rates for a company that earned $16.9 million in taxable income.

Using the information below, compute the net income of the company:

Sales revenue	$150,000
Operating expenses	25,000
Tax expense	3,500
Unearned revenue	5,000
Cost of goods sold	90,000
Interest expense	2,500