RAMCO Corporation is projected to increase its total capitalization by $18 million and total liabilities by $7 million. The company plans for net income (NI) to be 40% of retained earnings and for dividends per share (DPR) to be 180% of b, which is not specified. The target NI is $12 million.

1. A. The change in total capitalization of RAMCO Corporation is anticipated to be + 18000,000
and a positive change in total liabilities is 7000,000 . The NSI is projected to be 40% of retained
earnings. b is planned to be 180% of the DPR. The target NI is: a) 12000,000 b) 11000,000 c)
7000,000 d) None of the above.