Impact of Dividend Announcement on Financial Ratios

Company ABC has recently announced a dividend payment of $1 per share. Prior to this, the company's earnings per share (EPS) were $5, and they had a market price per share of $50. Investors are interested in how this dividend will affect the company's financial ratios, particularly the Dividend Payout Ratio (DPR) and the Price-to-Earnings (P/E) ratio.

The Dividend Payout Ratio is calculated as Dividends per Share divided by Earnings per Share, while the P/E ratio is calculated as Market Price per Share divided by Earnings per Share. Based on the announcement of the dividend, what will be the effect on the Dividend Payout Ratio and on the P/E ratio?