Apply the residual theory to determine what dividends ifany


Chancellor Industries has retained earnings available of $1.29 million. The firm plans to make two investments that require financing of $1,034,055 and $1.84 million, respectively. Chancellor uses a target capital structure with 63?% debt and 37?% equity. Apply the residual theory to determine what? dividends, if?any, can be paid? out, and calculate the resulting dividend payout ratio.

The dividend? amount, if? any, that can be paid out is $_______________?

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Financial Management: Apply the residual theory to determine what dividends ifany
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