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DePaul Inc. forecasts a capital budget of $725,000. The CFO wants to maintain a target capital structure of45% debt and 55% equity, and she also

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DePaul Inc. forecasts a capital budget of $725,000. The CFO wants to maintain a target capital structure of45% debt and 55% equity, and she also wants to pay a dividend of $500,000. If the company follows the residual dividend model 4. a. how much income must it earn? b. and what will its dividend payout ratio be

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