Steel Enterprises’ earnings per share for the period 2013–2020 are summarized in the table below. Use this information to calculate the dividends per share for each of the years and scenarios presented in parts a through d.

a. For positive earnings only, pay out 40% of earnings.

b. Pay $0.75 per share and increase to $0.85 per share when earnings per share exceed $1.60 per share.

c. Pay $0.75 per share and pay an extra dividend of $0.50 per share when the earnings per share exceed $1.60.

d. Pay $0.75 per share and pay an extra dividend of 50% of earnings above $1.50 per share.

e. Compare each of the dividend policies described in parts a through d.

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Year 2020 2019 2018 2017 2016 2015 2014 2013 Earnings per share $2.40 2.00 1.79 -0.95 1.64 1.28 1.01 0.86