Yellow Sdn$.$Bhd$.($YSB$)$anticipates an EBIT of RM$2,500,000$for the forthcoming year. The company upholds a $40$:$60$debt$-$to$-$equity ratio, which the management accepts an optimal capital structure for firms within the industry with a marginal tax rate of $30\%.$The company incurs an $8\%$interest rate on its RM$320,000$long$-$term debt. YSB$\text{'}$s common stock outstanding remains at one million shares. During the forthcoming capital budgeting cycle, the firm wants to finance a substantial NPV$-$positive project with a cost of RM$1,400,000,$utilizing its target capital structure for funding.

Based on the above information, you are required to answer the following questions.

a$.$Assuming the company follows a residual dividend policy:

i$.$what is its expected dividend payout ratio?

ii$.$what is the expected dividend per share?

iii. what is the retention ratio?

b$.$What will be YSB dividend per share if it follows the constant dividend payout ratio policy where the dividend payout ratio last year was $28\mathrm{.}5\%$