What would be the maximum amount

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Question - Helin Inc. currently has 800,000 shares outstanding and the management of the firm would like to keep a target debt-equity ratio of 3/5. The firm expects to have an earnings of $3 per share in 2021 and keep their current residual dividend policy. Assuming that the firm issues no new equity, what would be the maximum amount it can allocate as investment funds?

Reference no: EM133006757

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