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    Calculate what amount to pay in dividends

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    We have $5475 million in profit

    Proforma below
    last year($M) this year($M)
    Cash 12 16
    Accts receivable 6 8
    Inventory 7 9
    Plant & equip 22 22
    Acc dep (8) (10)
    Acct payable 5 6
    Current debt 2 2
    Long term debt 11 11
    Common stock 7 9
    Retained earnings 14 17
    Total liab & equity 39 45

    What amount we would pay in dividends this year is
    2,4578, 3000, 5475, or .821 Mil

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    https://brainmass.com/business/accounting-for-corporations/calculate-amount-pay-dividends-281944

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    ANSWERS

    Formula: Retained earnings last year profit - retained earnings this year = ...

    Solution Summary

    The expert calculates what amount to pay in dividends.

    $2.19