In order to get rich you have started your own business college which you have named BCU (Big Cashflow University). It is very successful because no...

40 % of your capital will come from equity which you estimate will cost 15% at the current stock price of $25 per share. You personally own 100 shares of stock in your company. Your company has $800,000 of internally generated funds and has identified $1,000,000 of profitable projects. If your company uses a “residual model” for dividend payment, calculate the total amount you can pay out as cash dividends?