Dividend PayoutThe Wei Corporation expects next year’s net income to be $15 million. Thefirm is currently financed with 40% debt. Wei has $12 million of profitableinvestment opportunities, and it wishes to maintain its existing debt ratio.According to the residual distribution model (assuming all payments arein the form of dividends), how large should Wei’s dividend payout ratio benext year?

Dividend Payout The Wei Corporation expects next year’s net income to be $15 million. The firm is currently financed with 40% debt. Wei has $12 million of profitable investment opportunities, and it wishes to maintain its existing debt ratio. According to the residual distribution model (assuming all payments are in the form of dividends), how large should Wei’s dividend payout ratio be next year?

The ABC Corporation expects next year’s net income to be Taka 20 million. The firm’s debt ratio is currently 40%. It has Taka 15 million of profitable investment opportunities, and it wishes to maintain its existing debt ratio. According to the residual distribution model (assuming all payments are in the form of dividends), how large should Wei’s dividend payout ratio be next year?        Provide your opinions on the following concepts: Dividend irrelevance theory; signaling theory, and clientele effect.

The Leap Corporation expects next year’s net income to be P15 million. The firm’s debt ratio is currently 40%. Leap has P12 million of profitable investment opportunities, and it wishes to maintain its existing debt ratio. According to the residual distribution model (assuming all payments are in the form of dividends), how large should Leap's dividend payout ratio be next year?