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The income statement of a company has the following figures: Sales is 5,000, costs of goods sold are 2,000, depreciation expense is 1,000, and interest
The income statement of a company has the following figures: Sales is 5,000, costs of goods sold are 2,000, depreciation expense is 1,000, and interest expense is 500. The corporate tax rate is 40%. If the dividend payout ratio is 50%, how much did the company retain for its future operations?
A. 450
B. 600
C. 1,500
D. 900
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