Answered: The authority to declare a dividend…

The authority to declare a dividend lies with the O Chief Financial Officer. Chief Executive Officer. O Board of Directors. President of the company.

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

See similar textbooks

Related questions

Q: Question 1 What is the accounting treatment of the direct issue costs of shares of stocks? O Debit…

A: Ques 1 Direct issuance cost of shares of stock should be recorded as expense in the income…

Q: What is the capital called that is contributed to the corporation by the stockholders and others?…

A: Stockholders are the owners, who invest in the company in the form of cash or kind. They can be…

Q: Subject: Financial Strategy & Policy We studied the application of Residual Dividend Model in the…

A: Residual Dividend model This is the method used by the company for determing the dividend company…

Q: Given the above information, which of the following statements regarding the accounting treatment of…

A: Dividend distributions refer to the payments made by a corporation to its shareholders out of its…

Q: share-based payment

A: Upon issue of shares for payment to employees, the expense account should be debited and share…

Q: Capital expenditures are costs that are charged to stockholders' equity accounts. O True O False

A: Capital expenditures means purchase of long term fixed assets in the business. These decisions are…

Q: Which of the following are included in the total contributed capital of a corporation? I. Share…

A: Contributed capital is the amount of the capital which is contributed by the owners of the business.…

Q: Which of the following are included in the total legal capital of a corporation assuming the…

A: Legal capital is the amount of capital that is reserved and not allowed to leave the business. It…

Q: xplain the difference between a Shar

A: Efforts of various people in order to run a successful business and many people associated with the…

Q: Quéstion 10 Preferred stockholders have the following rights EXCEPT: O A. the priority over common…

Q: Stocks or equity securities are: O a. Solely used by large corporations O b. Managed by your local…

A: There are various sources of finance such as debt, equity etc

Q: The total owners' equity is usually under a number of subcaptions on the corporations balance sheet.…

A: Shareholder equity is the section that foremost comes in the liability side of the balance sheet

Q: who decided whether to pay dividend?

A: Dividends:A dividend refers to a portion of a company's profits that is distributed to its…

Q: The date when the board of directors announces the intention to pay dividends is known as a.…

A: Answer - Date of Declaration - This is when the company's board of directors announces their…

Q: Who is considered to be owner of the company? a. Preference share holders O b. Debenture holders Oc.…

A: Answer - Correct Option is- Option D - Equity Share holders.

Q: The owners' interest in the assets of a corporation is known as Question content area bottom Part 1…

A: The balance sheet is one of the important financial statements of the business. The balance sheet…

Q: In computing the basic earnings per share, the full amount of the required preference dividends on…

A: As per IAS 33 "Earning Per Share" Dividend on Cumulative Preference Shares has to be deducted from…

Q: Please explain the principle considerations of a board of directors in making decisions involving…

A: Business is defined as any activity that assists in earning an income to the owner or the person who…

Q: Which of the following are included in the total legal capital of a corporation assuming the…

A: Solution: Legal capital means only par/stated value of common stock or preferred stock issued.

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: Equity is the Amount of a company's capital is owned by the shareholders. In sole proprietorship and…

A: solution concept In a balance sheet of company There is asset , liabilities and equity Equity means…

Q: Which of the following are included in the total contributed capital of a corporation? I. Share…

A: The shareholders equity section displays the items that belongs to the shareholders.

Q: Examine 5 five practical consideration that a company should consider when formulating dividend pay…

A: A part of the profit earned by the company is distributed among its shareholders in the form of…

Q: 2. Which of the following is included in the equity section of a corporate business?

A: Solution: Equity section of a corporation business represents amount attributable to shareholders of…

Q: purchase of shares

A: A discount given to employees for the purchase of shares is recognized as a/n ____________…

Q: Enumerate and explain dividend of a company. Also discuss the legal rule in regards to payment of…

A: Dividend is defined as the share of profits as well as retained earnings, which used to make the…

Q: shareholders

A: MC15 A MC 16 B MC17 A MC18 D MC19 D

Q: reference shareholders have O a Preferential right as to dividend only Ob. Preferential right in…

A: The term capital structure refers to the structure of debt and equity financing in the company. The…

Q: Which one of the following dates is the date on which the board of directors votes to pay a…

A: Record Date is the date used as a reference to understand which shareholder will get the dividend…

Q: Explain the basis of corporate dividends, including the similarities and differencesbetween cash and…

A: Dividend: It is a distribution of profits by a corporation to their shareholders. When a company…

Q: Cash dividends are paid based on the number of shares to. outstanding. b. issued (issued). C.…

A: Dividends is paid to the share holders for the money which is being invested in the company as share…

Q: Which of the following are the two financial requirements that the board of directors must consider…

A: The dividends are paid to outstanding shareholders.

Q: Question Two a. Suppose the market interest rate is 10 per cent in Zambia. What is the value of a…

A: Note: Hi! Thank you for the question, As per the Honor code, we are allowed to answer one question…

Q: It is the share of profits and retained earnings that a company pays out to its shareholders. * O…

A: Ordinary shares, preference shares and debt capital are three types of sources by which company can…

Q: Credits always increase which accounts? Assets, Liabilities and Common Stock Liabilities, Revenues…

A: Lets understand the basics. As per golden rule of accounting, all asset accounts and expense…

Q: Dividends are paid to: a) The holders of record b) The holders of ex-dividends c) Bondholders d)…

A: Dividend are paid to shareholder on record date. The ex-dividend is the first date that the share…

Question

Question 19 The authority to declare a dividend lies with the O Chief Financial Officer. Chief Executive Officer. O Board of Directors. President of the company.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1: Introduction

VIEW

Step 2: Authority to declare dividend

VIEW

Step 3: Incorrect Options

VIEW

Solution

VIEW

Step by step

Solved in 4 steps

SEE SOLUTION Check out a sample Q&A here

Similar questions

In which form of business organizations owners are entitled to get dividend as return on their shareholding? O a. Corporation O b. Sole proprietorship O C. Partnership O d. Joint Ventures
q17
?With regard to stock dividend, which of the following is true .Reduces a corporation's assets and stockholders' equity A .Does not affect total equity, but transfer amounts between the components of equity.B „The decision to declare a stock dividend resides with the shareholders .C Transfers a portion of equity from retained earnings to a cash reserve account.D
Q39 Return that a shareholder gets from the company, out of its profits, on his shareholdings, is called a. Dividends b. Retained Earnings c. Return on Shareholdings d. Return on Earnings
A company’s assets and shareholders’ equity are most likely to be increased by Share rights exercise Cash dividends Share dividends Share splits
13 Dividends paid to local shareholders are recorded in the invisible trade of current transactions a. True b. False
What term refers to funds provided in a business by its shareholders? Question 19 options: assets equity revenue liabilities
Enumerate and explain dividend of a company and also discuss the legal rules in regards to payment of dividend to shareholders
Which of the following statements related to dividends is incorrect? O Dividends must be paid in the period declared. O Before declaring a dividend, management must consider availability of funds to pay the dividend. O Distributions to owners must be in compliance with the state laws. O Dividends must be declared by the Board of Directors.
ESPAÑOL INGLÉS FRANCÉS The distribution of a dividend that represents a partial return of the original investment made by the shareholders is known as a. participatory dividend (participatory dividend). b. dividend in liquidation. С. property dividend (property dividend). Enviar com P
ESPAÑOL INGLÉS FRANCÉS The distribution of a dividend that represents a partial return of the original investment made by the shareholders is known as to. participating dividend. b. liquidating dividend. C. property dividend. Enviar comenta Guardado Contribuir MacBook Ai
Part 1 Which are rights of common stockholders? Check all that apply: The right to a share of dividends paid The right to vote for members of the board of directors The right to vote on major decisions at the annual general meeting The right to receive regular dividends Submit

SEE MORE QUESTIONS

Recommended textbooks for you

Essentials Of Investments

Finance

ISBN:

9781260013924

Author:

Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:

Mcgraw-hill Education,

FUNDAMENTALS OF CORPORATE FINANCE

Finance

ISBN:

9781260013962

Author:

BREALEY

Publisher:

RENT MCG

Financial Management: Theory & Practice

Finance

ISBN:

9781337909730

Author:

Brigham

Publisher:

Cengage

Foundations Of Finance

Finance

ISBN:

9780134897264

Author:

KEOWN, Arthur J., Martin, John D., PETTY, J. William

Publisher:

Pearson,

Fundamentals of Financial Management (MindTap Cou…

Finance

ISBN:

9781337395250

Author:

Eugene F. Brigham, Joel F. Houston

Publisher:

Cengage Learning

Corporate Finance (The Mcgraw-hill/Irwin Series i…

Finance

ISBN:

9780077861759

Author:

Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan Professor

Publisher:

McGraw-Hill Education

Essentials Of Investments

Finance

ISBN:

9781260013924

Author:

Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:

Mcgraw-hill Education,

FUNDAMENTALS OF CORPORATE FINANCE

Finance

ISBN:

9781260013962

Author:

BREALEY

Publisher:

RENT MCG

Financial Management: Theory & Practice

Finance

ISBN:

9781337909730

Author:

Brigham

Publisher:

Cengage

Foundations Of Finance

Finance

ISBN:

9780134897264

Author:

KEOWN, Arthur J., Martin, John D., PETTY, J. William

Publisher:

Pearson,

Fundamentals of Financial Management (MindTap Cou…

Finance

ISBN:

9781337395250

Author:

Eugene F. Brigham, Joel F. Houston

Publisher:

Cengage Learning

Corporate Finance (The Mcgraw-hill/Irwin Series i…

Finance

ISBN:

9780077861759

Author:

Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan Professor

Publisher:

McGraw-Hill Education

SEE MORE TEXTBOOKS