Aiternative Dividend Policies Boehm Corporation has had stable eamings growth of 109 a year for the past 10 years and in 2018 Boehm paid dividends of 53.5 million on net income of $19.7 milion. However, in 2019 camings are expected to Jump to $21.9 million, and Boehm plans to invest $15.366 million in a plant expansion. This one-time unusual earnings growth won't be maintained, though, and after 2019 Boehm with return to its previous 10% earnings growth rate. Its target debt ratio is 35%. Boehm has 1 mililion shares of stock. a. Calculete Boehm's dividend per share for 2019 under ench of the following pollicies: 1. Its 2019 dividend payment is set to force dividends per share to grow at the long-run growth rate in earnings. Round your answer to the nearest dollar. 3 2. It continues the 2018 dividend payout natjo. Round intermediate calculations to four decimal places. Round your answer to the nearest doliar: 3. It uses a pure residual policy with all distributions in the form of diddends (35\% of the 315.366 miltion investment is financed with debt). Round your answer th the nearest dollac. 4. ft employs a reguiar-dividend-plus-extras policy, with the regular dividend being based on the long-run growth rate and the extra dividend being set accordina to the residual policy. What will the extra dividend be? Round your answer to the nearest dollar. 5 b. Which of the preceding polkies would youl recommend? c. Does a 2019 dividend of 310 milion seem reasonabie in view of your answers to parts a and b7 If not, should the dividend be higher or lower? 1. Yes. As a regular dividend it should be equal to $10 miltion. t. No. As a regutar dividend it should be higher than $10 miltion. III. No. As a regular dividend it should be lower than 110 milion