What will be its total dividend payment

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Reference no: EM131186310

Pate & Co. has a capital budget of $3,000,000. The company wants to maintain a target capital structure that is 20% debt and 80% equity. The company forecasts that its net income this year will be $3,500,000. If the company follows a residual dividend policy, what will be its total dividend payment?

Reference no: EM131186310

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