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MN company expects to generate the following net income. Year Net Income 1 4,000,000 2 6,000,000 3 8,000,000 The company currently has 1,000,000 shares outstanding

  1. MN company expects to generate the following net income.

Year

Net Income

1

4,000,000

2

6,000,000

3

8,000,000

The company currently has 1,000,000 shares outstanding

  1. Determine earning per share in each year.
  2. Determine total dividend and dividend per share if a dividend pay out ratio of 50% is maintained.

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