CoHas a Capital Budget of $2,000,000

Co.has a capital budget of $2,000,000.The company wants to maintain a target capital structure that is 35% debt and 65% equity.The company forecasts that its net income this year will be $1,800,000.If the company follows a residual dividend policy, what will be its total dividend payment?

A) $100,000
B) $200,000
C) $300,000
D) $400,000
E) $500,000