Polycom Systems earned $495 million last year and paid out 23 percent of earnings in dividends.
a. By how much did the company’s retained earnings increase? (Do not round intermediate calculations. Input your answer in dollars, not millions (e.g., $1,234,000).)
b. With 100 million shares outstanding and a stock price of $138, what was the dividend yield? (Hint: First compute dividends per share.) (Do not round intermediate calculations. Input your answer as a percent rounded to 2 decimal places.)