I only need part C Please!!

A company has a required return of 16%, a profit margin of 3%, a D/E ratio of 1 and total asset turnover of 2 and just paid a $3.00 Dividend.

A) The company has a dividend payout ratio of 20%; calculate the price and forward P/E ratio. (4 points)

ROE =12%

GR = 9.6%

EPS = $4.11

Price = $51.38

Forward P/E Ratio = 12.5

B) If the company changed its dividend payout ratio to 40%, calculate the price and forward P/E ratio? (4 points)

ROE = 12%

GR = 7.2%

EPS = $5.36

Price = $36.55

Forward P/E Ratio = 6.82

C) Explain why the price and P/E ratio increased or decreased. What variables are critical to determine if they should increase or decrease their dividend payout ratio? (Hint be specific what variables do you need to know.) (3 points)