In Order To Get Rich You Have Started Your Own Business College Which You Have N

40 % of your capital will come from equity which you estimate will cost 15% at the current stock price of $25 per share. You personally own 100 shares of stock in your company. Your company has $800,000 of internally generated funds and has identified $1,000,000 of profitable projects. If your company uses a “residual model” for dividend payment, calculate the total amount you can pay out as cash dividends?

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