The Hastings Sugar Corporation has the following pattern of netincome each year, and associated capital expenditure projects. Thefirm can earn a higher return on the projects than the stockholderscould earn if the funds were paid out in the form of dividends.Year Net Income Profitable Capital Expenditure 1 $18 million $ 7million 2 16 million 12 million 3 11 million 6 million 4 22 million7 million 5 20 million 8 million The Hastings Corporation has 2million shares outstanding (The following questions are separatefrom each other). a. If the marginal principle of retained earningsis applied, how much in total cash dividends will be paid over thefive years? (Enter your answer in millions.) b. If the firm simplyuses a payout ratio of 40 percent of net income, how much in totalcash dividends will be paid? (Enter your answer in millions andround your answer to 1 decimal place.) c. If the firm pays a 20percent stock dividend in years 2 through 5, and also pays a cashdividend of $3.40 per share for each of the five years, how much intotal dividends will be paid? d. Assume the payout ratio in eachyear is to be 30 percent of net income and the firm will pay a 20percent stock dividend in years 2 through 5. How much willdividends per share for each year be? (Assume cash dividend is paidafter the stock dividend). (Round your answers to 2 decimalplaces.)