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Unformatted text preview: 4. Reg Dividends- 1.10*3,600,000= $3,960,000 Extra Dividend - $9,360,000-$3,960,000= $5,400,000 B. I would recommend policy 4 because the investor would receive a regular dividend of $3,960,000 plus an extra dividend of $5,400,000. It would give the potential investors a more accurate outlook of Keenan Company’s financing budget....
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This note was uploaded on 05/23/2011 for the course FINANCE 516 taught by Professor Woodard during the Spring '11 term at DeVry Houston.
- Spring '11