The Projected Capital Budget of Kandell Corporation Is $1,000,000, Its

The projected capital budget of Kandell Corporation is $1,000,000, its target capital structure is 60% debt and 40% equity, and its forecasted net income is $550,000.If the company follows a residual dividend policy, what total dividends, if any, will it pay out?

A) $122,176
B) $128,606
C) $135,375
D) $142,500
E) $150,000