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For a dividend paying firm, how is the projected addition to retained earnings calculated using the percentage of sales approach? Multiple Choice Net income

For a dividend paying firm, how is the projected addition to retained earnings calculated using the percentage of sales approach?
Multiple Choice
Net income \times (New Sales/Old Sales)
(Cash dividends/Net income)\times (New sales/Old sales)
(Retained earnings/Sales)\times (New Sales/Old Sales)
Net income \times (1 Dividend payout ratio)
Net income \times (1 Retention ratio)

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