Please do not copy and paste from another chegg, the questions are diverse and there are no examples of the formulas used.Please do not copy and paste from another chegg, the questions are diverse and there are no examples of the formulas used.

know the following: (1) The company follows a residual dividend policy. million, $3.3 million, and $4.3 million. (3) The forecasted level of potential retained earnings next year is $2.3 million. (4) The target or optimal capital structure is a debt ratio of 40%. You have decided to respond by sending the stockholder the best information available to you. a. Compute the amount of the dividend (or the amount of new common stock needed) and the dividend payout ratio for each of the three capital expenditure amounts. b. Compare, contrast, and discuss the amount of dividends (calculated in part a) associated with each of the three capital expenditure amounts. a. If the capital expenditure amount is $2.3 million, the amount of dividend the firm can pay is $ (Round to the nearest dollar.)