A company pays a dividend on common stock, thereby reducing its cash balances. What effect does payment of the dividend have on its leverage ratio and net profit margin?

	a.	No effect on debt/equity; decreases net profit/sales
	b.	Decreases debt /equity; decreases net profit/sales
	c.	Increases debt/equity; no effect on net profit/sales
	d.	Decreases debt/equity; increases net profit/sales