HiLo Enterprises Maintains a Debt-Equity Ratio of

HiLo Enterprises maintains a debt-equity ratio of .75 and follows a residual dividend policy. The firm needs $2,000 for new investments next year. The after-tax earnings this year are $1,800. What is
The amount that HiLo will pay out in dividends for this year?

A) $0
B) $300.00
C) $657.14
D) $1,142.86
E) $1,300.00