Discuss the 4 types of dividends. Which of the 4 is used most often, and why? What may happen to a company’s share price when dividends are announced or paid? Why do you think this is so?

Q: how does earnings extremely important to a publicly traded company?

A: Publicly Traded Company Corporations that have sold their shares on a public stock exchange through…

Q: 3. (a). One of the reasons why firms pay dividends is that dividends payments can be a signal to the…

A: Dividend payment is essentially distribution of a part of earnings of a company with its…

Q: There are a number of factors that need to be taken into consideration as to whether to pay…

A: Optimal dividend policy is a theory which states that the payout or dividend paid today should have…

Q: Are short-term profits always in the best interest of stockholders? Explain

A: Short term profits are generally earned for a period of less than one years it may be quarterly,…

Q: What are the three (3) components that the return from shares can be broken down into?

A: The capital of a corporation consists of units of shares that are used by the corporation to acquire…

Q: How do cash dividends affect the realized rate of return from investing in shares of common stock

A: Cash dividends are distribution of profits earned by a company is cash. These are inflows for…

Q: What is the dividend date and why is it important to investor

A: Dividend date is very important because only investor holding shares will receive the dividend

Q: Write a note on dividend. To who is dividend is paid?

A: Dividends are paid to the shareholders of the company.

Q: According to Walter (1963) should a firm pay dividends? Explain why Walter comes to this conclusion.

A: As per the Walter’s model on dividend policy, dividends are relevant and have a bearing on the…

Q: Which dividends do not reduce stockholders' equity? O Cash dividends O Stock dividends O Property…

A: When Cash Dividends are Paid than they Reduces Retained Earning and Cash Balance of the Organization…

Q: Which of the following dividends does not reduce total stockholders' equity? O Liquidating…

A: The dividend is declared to the shareholders from the retained earnings of the business. The…

Q: What is the lowest dividend a firm could pay? What types of firms generally pay high dividends?…

A: Dividend is not compulsory to pay, when the company earns good profits , Board of directors…

Q: According to the bird-in-the-hand-theory, how do high dividends impact company value and why?

A: The dividend is the amount that is paid to the shareholders as the return on the shares after paying…

Q: a. Define the information content effect of a dividend, and discuss whether or not it conveys…

A: Information content effect: Information content effect tells how the stock price moves based on the…

Q: Identify the term being referred to: A theory that states that how high or low an entity pays out…

A: Solution:- There are two theories related to dividend-  Dividend relevance theory and dividend…

Q: Dividend policy determines the ratio between the earnings distributed to shareholders and the…

A: Dividend policy is referred as the dividend distribution, which has the guidelines that actually…

Q: fine dividend policy. Why do investors want dividends? Explain the different types of dividend

A: Define dividend policy  In simple words, A dividend policy can be understood as the framework by…

Q: What is the distinction between that of Paid-in-Capital and Retained Earnings, in both differences…

A: Paid in capital means the amount contributed by share holder in company as share capital Retained…

Q: Financial managers are responsible for decisions that maximize share price and shareholder9s wealth.…

A: The wealth of shareholders can be evaluated based on the total return they receive from holding a…

Q: Write out the equation of corporate value model, and why there is a need of corporate value model…

A: The calculation of theoretical value of stock is known as stock valuation. It is important tool to…

Q: dends tend to be followed by (immediate) increases in share prices, how can it be said that dividend…

A: Net income is used in either or both ways as mentioned below. Pay as dividends to shareholders…

Q: Why do companies often repurchase stock instead of paying cash dividends? What is the effect for the…

A: Dividends are the returns that will be paid to the investors who hold the stock of the company. This…

Q: Why might earnings per share be more significant to a stock-holder in a large corporation than the…

A: Earnings per share: It is calculated by dividing the net income after making adjustments for…

Q: Indicate whether its TRUE or FALSE. Then give an explanation. Firms concerned with the sharemarket…

A: Dividends often tend to be sticky in most cases because companies are reluctant to change dividends…

Q: Do investors generally prefer dividends or share repurchases? Support your answer.

A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: Explain the concept of ‘buying back of shares by a company. What are the effects of such a buy-back?…

A: Shares are the units of the equity ownership of a corporation that is held by the shareholders of…

Q: In the attached article, what does it mean by the popular asserrtion that dividend increases…

A: Investments are the systematic allocation of funds towards different kinds of assets with the goal…

Q: hat does it mean when a company has zero net income but its stock price has increased? How do you…

A: Equity method: The equity method is used to record the profit earned by a company by investing in…

Q: With regard to the Earnings per Share (EPS), what kinds of actions can the firm take to increase the…

A: The question is based on the concept of Earnings per Share (EPS) and its improvement. EPS is…

Q: Would you prefer to invest in a company that has a regular dividend policy or a company that has a…

A: A "dividend policy" is defined as the policy where the corporation uses the structure for its…

Q: the dividend policy of a publicly held company of your choosing and discuss the positive and…

A: Some of the factors affecting dividend policy of a firm or company or business are as follows: 1.…

Q: How will you distinguish a small from large share capital (stock) dividend?

A: Dividend is the share or part of profits that is being distributable to the shareholders of the…

Q: If the company decides to declare a share dividend instead of cash, explain the effects on the…

A: A company declares share dividend instead of cash dividend if it has low or insufficient cash…

Q: how dividends and related issues (e.g. dividend taxation) can play a part in rethinking the…

A: In Capitalist economy Industries are owned by the private people. That is goods and services are…

Q: One of the reasons why firms pay dividends is that dividends payments can be a signal to  the…

A: Dividend payments can be an indication that the firm is going to do well in the future. Firms that…

Q: nd re-investment plan’, and how it benefits the com

A: Company is owned by the shareholders and it is necessary for the company to share profit with…

Q: Gordon and Lintner, recognizing that dividends affect stock prices, suggest that positive effects of…

A: Dividend policyA company's dividend policy determines how profits are shared with shareholders. It…

Q: Why do firms pay dividends? International evidence on the determinants of dividend policy.

A: Dividend means part of profit. Ordinary shares holders get dividend as a return. Payment of dividend…