NY Fashions Has the Following Data $$\begin{array} { l r } \text { Capital budget } & \$ 1,500,00 \\\% \text { Debt } & 65 \% \\\text { Net income (NI) } & \$ 550,000\end{array}$$

question 3

Multiple Choice

NY Fashions has the following data. If it follows the residual dividend model, how much total dividends, if any, will it pay out? $$\begin{array} { l r } \text { Capital budget } & \$ 1,500,00 \\\% \text { Debt } & 65 \% \\\text { Net income (NI) } & \$ 550,000\end{array}$$

• A) $20,363
• B) $21,434
• C) $22,563
• D) $23,750
• E) $25,000

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