MMM Corporation has the following data
Outstanding shares of common stock	1000	thousand
Target capital structure
Debt	45%
Equity	55%
Projected net income [P(NI)]	5000	thousands
The projected investments for next year	6000	thousands
Assume the residual distribution model is used with respect to dividends.
Find payout ratio

less than 25%

[25%, 35%]

[35%, 45%]

50%