Hans grouper, president of grouper corp., believes that it is a good practice for a company to maintain a constant payout of dividends relative to its earnings. last year, net income was $560,000, and the corporation paid $100,800 in dividends. this year, due to some unusual circumstances, the corporation had income of $1,410,000. hans expects next year’s net income to be about $660,000.

a. what was grouper corporation's payout ratio last year?
b. if it is to maintain the same payout ratio, what amount of dividends would it pay this year?

Analyzing and computing accrued warranty liability and expense waymire company sells a motor that carries a 60-day unconditional warranty against product failure. from prior years' experience, waymire estimates that 2% of units sold each period will require repair at an average cost of $100 per unit. during the current period, waymire sold 69,000 units and repaired 1,000 units. (a) how much warranty expense must waymire report in its current period income statement? (b) what warranty liability related to current period sales will waymire report on its current period-end balance sheet? (hint: remember that some units were repaired in the current period.) (c) what analysis issues must we consider with respect to reported warranty liabilities?