PQR Inc. has a debt-equity ratio of 2 and one million shares outstanding. The firm’s pro-forma...

PQR Inc. has a debt-equity ratio of 2 and one million shares outstanding. The firm’s pro-forma Statement of Comprehensive Income for the next year indicates that its net income will be $650,000. If the company proposes to invest 60% of its earnings in projects, what is the dividend per share?

Select one:

a. $0.34

b. $0.43

c. $0.52

d. $0.90

e. $1.20

Expert Solution

Ans is c.$ 0.52

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jeff jeffy answered 1 year ago

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