What other factors should be considered

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1. The management of Riggs Inc. is trying to decide whether it can increase its dividend. During the current year, it reported net income of $875,000. It had cash provided by operating activities of $734,000, paid cash dividends of $92,000, and had capital expenditures of $310,000. Compute the company's free cash flow, and discuss whether an increase in the dividend appears warranted. What other factors should be considered? 

Reference no: EM131145000

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