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Outdoor Gear offers unique products for outdoor living. The company pays quarterly dividends, follows a stable dividend policy and has a target...

Outdoor Gear offers unique products for outdoor living. The company pays quarterly dividends, follows a stable dividend policy and has a target retention ratio of .6. The firm has 20,000 shares of stock outstanding with a market value of $43 a share. The cash manager of the firm is compiling a cash budget for next year and needs an estimate of the cash requirement, by quarter, to cover the dividend distributions. The net income estimates, by quarter, are $.62, $1.15, $1.34, and $.84. Given these estimates, the quarterly dividend cash requirements are:

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