Alternative dividend policies Steel Enterprises’ earnings per share (EPS) for the period 2008 to 2015 are summarized in the table below. Use this information to calculate the dividends per share for each of the years and scenarios presented in parts a through d.

YEAR	EPS ($)
2015	2.40
2014	2.00
2013	1.79
2012	(0.95)
2011	1.64
2010	1.28
2009	1.01
2008	0.86

a. For positive earnings only, pay out 40% of earnings.

b. Pay $0.75 per share and increase to $0.85 per share when earnings per share exceed $1.60 per share.

c. Pay $0.75 per share and pay an extra dividend of $0.50 per share when the earnings per share exceed $1.60.

d. Pay $0.75 per share and pay an extra dividend of 50% of earnings above $1.50 per share.

e. Compare and contrast each of the dividend policies described in parts a through d.