Projected income statements(millions)

2004

sales: 730.3

COGS: 460.1

Selling and adminstrative: 80.3

depreciation: 109.6

EBIT: 80.3

Taxes: 27.3

Interest: 0

Net Income: 53.0

Projected Balance Sheets (millions)

Assets

Accts Receivable: 73.0

inventory: 23.0

Property, Plant,Equip.: 511.2

total Asset: 607.3

Liabs and Equity

accts payable: 60.9

Equity: 546.4

total Liability and equity: 607.3

If BE decided to pay $25 million out of its 2004's profit as dividends to shareholders, what would be the 2004's plowback ratio? *

a. 52.83%

b. 47.17%

c. 50%

d. 100%

e. Your going to far down