Calculate the amount of cash dividends


Question 1) Suppose sales for the coming year are forecasted to be $71,162 and the forecasted cost of sales to sales ratio is 73.00 percent. Calculate gross profit.

Question 2) Suppose pretax income is $1,981, the effective tax rate is 40 percent, and the dividend payout ratio is 6 percent. Calculate the amount of cash dividends.

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Accounting Basics: Calculate the amount of cash dividends
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