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Wonka co expects to earn $ 3 , 5 0 0 during the current year and its dividend payout ratio is 6 5 % .

Wonka co expects to earn $3,500 during the current year and its dividend payout ratio is 65%. The target capital structure calls for 55% equity financing. Wonka co wants to stay away from new common stock issue. Compute the maximum capital budget this company can have next year without having to raise new capital.

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