Dividend constraints A firm has $800,000 in paid-in capital, retained earmings of $42.000 (including the current years eamings), and 24,000 shares of common stock outstanding In the current year, it has $30,000 of earnings avalable for the common stockholders a. What is the most the firm can pay in cash dividends to each common stockholder? (Assume that legal capital includes all paid-in capital) b. What eflect would a cash dividend of $0 75 per share have on the Sm's balance sheet entries? c If the fm cannot raise any new funds from external sources, what do you consider the key constraint with respect to the magnitade of the fiem's dividend payments? a. If legal capital is assumed to include all pais in capital the mest the fim can pay in cash dvidends to each common stockholder is Round to the nearest cent) b. if the frm pays a cash dividend of S0 75 per share, ts cash will decrease by $(Round to the nearest dollan) lthe firm pays a cash diidend of 50 75 per share, its retained eamings will decrease by(Round to the nearest dollar) . the fin cannot raise any new funds from external sources which ofthe followig accounts is the key constart ith respect to the magnt de ofth" fir sdidend payments? Send th, bestans u below O A. Paid-in capital . Retained earnigs O C. Cash O D. Number of outstanding shares