b. If the company maintains this 25% payout ratio, what will be the current dividend yield on the company's stock? Round your answer to two decimal places. % c. The company reported net income of $1.15 million in 2015. Assume that the number of shares outstanding has remained constant. What was the company's per-share dividend in 2015? Round your answer to the nearest cent. $ d. As an alternative to maintaining the same dividend payout ratio, Brooks is considering maintaining the same per-share dividend in 2016 that it paid in 2015. If it chooses this policy, what will be the company's dividend payout ratio in 20162 Round your answer to two decimal places. % e. Assume that the company is interested in dramatically expanding its operations and that this expansion will require significant amounts of capital. The company would like to avoid transactions costs involved in issuing new equity. Given this scenario, would it make more sense for the company to maintain a constant dividend payout ratio or to maintain the same per-share dividend? I. Since the company would like to avoid transactions costs involved in issuing new equity, it would be best for the firm to maintain a constant dividend payout ratio. II. Since the company would like to avoid transactions costs involved in issuing new equity, it would be best for the firm to maintain the same per-share dividend. 5 *** > to Currency 0 00 .00 0 B19 C D E F G H I j K 40.00% 75.00% 490,000 $43.00 25.00% A 1 Dividends 2 3 Dollars in Thousands: 4 Tax rate 5 Operating cost % 6 Common shares outstanding 7 Common stock price 8 Dividend payout ratio 9 10 Sales 11 Operating costs 12 EBIT 13 Interest 14 EBT 15 Taxes 16 Net income 17 18 Calculation of current per share dividend: 19 DPS, current year 20 21 Current dividend yield calculation: 22 Current dividend yield 23 24 Calculation of last year's per share dividend: 25 Last year's net income 26 DPS last year 27 $10,000 7,500 $2,500 330 $2,170 868 $1,302 Formulas #N/A #N/A $1,150 #N/A