How much external equity must delta raise

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Delta Company has 100,000 shares outstanding and plans to pay $1.00 per share in dividends each quarter next year. Delta has a capital budget of $700,000 for next year and plans to maintain its present debt ratio of 0.30. If earnings are expected to be $7.20 per share, how much external equity must Delta raise?

Reference no: EM132444434

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