Chester Corporation is considering its dividend policy for this year. They are projecting $5.475 million in profit.
Question:
Chester Corporation is considering its dividend policy for this year. They are projecting $5.475 million in profit.
Last Year ($M) This Year ($M)
Cash $12 $16
Accounts Receivable $6 $8
Inventory $7 $9
Plant and Equipment $22 $22
Account Depreciation ($8) ($10)
Total Assets $39 $45
Accounts Payable $5 $6
Current Debt $2 $2
Long Term Debt $11 $11
Common Stock $7 $9
Retained Earnings $20 $22
Total Liability and Principal $39 $45
What does Chester plan to pay out in dividends this year?
Financial Reporting Financial Statement Analysis and Valuation a strategic perspective
ISBN: 978-1337614689
9th edition
Authors: James M. Wahlen, Stephen P. Baginski, Mark Bradshaw