Puckett products is planning for 42 million in capital, Financial Management

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Puckett products is planning for 42 million in capital

Residual Distribution Model

Puckett Products is planning for $4.2 million in capital expenditures next year. Puckett's target capital structure consists of 55% debt and 45% equity. If net income next year is $2 million and Puckett follows a residual distribution policy with all distributions as dividends, what will be its dividend payout ratio? __%

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Financial Management: Puckett products is planning for 42 million in capital

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