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Brooks Sporting Inc. is prepared to report the following 2016 income statement (shown in thousands of dollars). Sales $18200 Operating costs including depreciation 13104
Brooks Sporting Inc. is prepared to report the following 2016 income statement (shown in thousands of dollars). Sales $18200 Operating costs including depreciation 13104 EBIT $5096 Interest 396 EBT $4700 Taxes (40%) Net income 1880 $2820 Prior to reporting this income statement, the company wants to determine its annual dividend. The company has 520000 shares of stock outstanding, and its common stock trades at $38 per share. The data has been collected in the Microsoft Excel Online file below. Open the spreadsheet and perform the required analysis to answer the questions below. X Open spreadsheet a. The company had a 35% dividend payout ratio in 2015. If Brooks wants to maintain this payout ratio in 2016, what will be its per- share dividend in 2016? Round your answer to the nearest cent. $
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