Do dividends matter? Provide theoratical literature, empirical evidence, examples and relevant theories etc.

Q: How can the Present-Worth Comparison be done?

A: The present worth method of comparison will diminish the cash flows of every choice to time zero by…

Q: Discuss Present Value of Perpetuities?

A: Perpetuity is the stream of cash flows or payments that are made at equal intervals that do not have…

Q: Financial information that is capable of making a difference in a decision is a) relevat b)…

A: Fundamental qualities of financial information should be: 1. Relevance 2. Faithful representative.

Q: What have been the results of empirical tests of the dividendtheories?

A: Answer: Constructing a perfect empirical test of the relation between pay-out strategy and the…

Q: What does vertical analysis try to reveal

A: The comparative study of financial line items of an income statement or a balance sheet is generally…

Q: Which are the assumptions will be added as we discuss the various approaches to the valuation of the…

A: REIT stands for a real estate investment property. The investment is treated as investment in stocks…

Q: What is the empirical evidence on Uncovered Interest Parity?

A: Interest parity can be subdivided into two parts. these parts are: Covered interest parity…

Q: What does MYOB use the Historical Balancing account for?

A: MYOB: It is often defined as an international accounting software that is used by the businesses for…

Q: What does maturity matching mean, and what is the logic behindthis policy?

A: Maturity matching It is a financing strategy for working capital. Under this strategy, financing of…

Q: e the use of pro forma statements in informed decision-making?

A: Step 1When it comes to accounting, pro forma statements are the financial statements of your…

Q: What is the meaning of anchoring in negotiation

A: Negotiation refers to having a conversation where two or more parties attempts to agree at a common…

Q: What does horizontal analysis try to reveal ?

A: Horizontal analysis of financial statements involves comparison of a financial ratio, a benchmark,…

Q: With the aid of examples, highlight the differences between the following terms: Rights issue and…

A: Solution:- Capitalization issue are also known as bonus issue. The following difference between…

Q: f Quantitative Research titles or topics related to Accountancy

A: Quantitative Research titles mean the number based accounting metrics used to conduct research study…

Q: Define the term Trade-Off between Risk and Reward?

A: Risk-Reward trade off refers to an investment principle which indicates higher the risk, higher is…

Q: 1. What causes volatility? Explain the basic assumption and research supported view.

A: Volatility is price variability of an asset. Risky assets' prices go up and down and that is called…

Q: 1. What is a disposition effect?

A: The investors utilize the fluctuations present in the trading market to earn profits. They buy…

Q: Define a comparative balance sheet?

A: A comparative balance sheet presents the information about the Assets, liabilities and Equity side…

Q: What is interest pooling and when is it appropriate?

A: Introduction : Pooling of interests is an accounting technique that allows for the consolidation of…

Q: Why the prospect theory is important

A: Introduction:- Prospect theory is very important because it elaborates how we understand and value…

Q: What makes an account significant or an assertion relevant?

A: Significant Account  An account is said to be significant when there is a chance that the account…

Q: What is Fair Value Accounting? 2. What are the factors contributing toward the trend of fair value…

A: What is Fair Value Accounting? Fair value accounting is a financial reporting method where assets…

Q: Briefly explain the decision-makers emphasis and the decision-models emphasis of decision usefulness…

A: Accounting is the process of recording, analyzing, summarizing, and interpreting the financial…

Q: Define Realizable (settlement) value

A: Realizable settlement value in case of liabilities is considered to be equal to the settlement…

Q: Is the WACC set by investors or by managers and how (with theoretical concepts)?  Please provide…

A: The Weighted average cost of capital (WACC), which includes common stock, preferred stock, bonds,…

Q: 3. Financial information that is capable of making a difference in a decision is a. faithfully…

A: Fundamental qualities of financial information should be: 1. Relevance 2. Faithful representative.

Q: explain the term force of interest as used in interest theory.

A: interest : it is the compensation that the borrower of the capital pays to the lender for use of it.

Q: What is the monetary threshold value, when a Statement of Advice (SOA) may be replaced by a Record…

A: Statement of advice is the way by which one can communicate his advice in relation to investment to…

Q: What are financial obligations? How they can be overcome?

A: Liabilities:The claims creditors have over assets or resources of a company are referred to as…

Q: Why investors will rely on nonfinancial statement forms of information to facilitate the efficient…

A: Unlike financial information, non-financial information can not be represented in monetary values.…

Q: Which theory predict the facts but not assume any particular outcome? O a. Normative theory O b.…

A: The question is multiple choice question. Required  Choose the Correct option

Q: Does the MM theory appear to be correct according to either empirical research or observations…

A: The question is based on the concept of Modigliani Miller (MM) approach of capital structure and…

Q: The relationship between value and its expression in the form of money reflects in a transparent way…

A: Correct answer is (a) True.

Q: Explain the Redemption process?

A: The question is based on the concept of redemption, which is mainly used for repayment of fixed…

Q: y each financial assertion is i

A: Financial assertion : In simple words, financial assertions can be understood as the opinion in…