Consider the following simplified financial statements for the Phillips Corporation (assuming no income taxes):

Income Statement: Sales $24,000 Costs 14,200 Net income $9,800

Balance Sheet: Assets $10,800 Total $10,800 Debt $5,300 Equity 5,500 Total $10,800 ________________________________________

Phillips has predicted a sales increase of 12 percent. It has predicted that every item on the balance sheet will increase by 12 percent as well. Calculate the dividend paid. (Do not round your intermediate calculations.)