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A firm has a debt - to - equity ratio of 3 2 and 1 , 0 0 0 , 0 0 0 shares outstanding.

A firm has a debt-to-equity ratio of 32 and 1,000,000 shares outstanding. It is considering an investment project that costs $1,000,000
and has NPV =201,983. If NI=$1,106,792 what is the dividend per share if the firm uses a residual dividend policy?
a. $0.600
b. $0.400
C. $0.202
d. $0.707
e. $1.107
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