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

Q: what is the most frequent type of transaction in financial markets?   a. IPO's   b. secondary…

A: A financial market is a marketplace where buyers and sellers trade assets such as equities, bonds,…

Q: Discuss the various factors which influence the choice of dividend policy among firms

A: Dividend pertains to distribution of surplus rather than reinvestment into the business. There are…

Q: D. What does a firm typically try to accomplish by cross listing and selling its shares on a foreign…

A: The listing of a company's common shares on an exchange other than its primary and original stock…

Q: Discuss the ethics of dividends and illustrate how dividends and related issues (e.g. dividend…

A: Business is the part of the society and gets various resources from society to conduct its business.…

Q: How would you relate information asymmetry to firm’s dividend policy?

A: Information asymmetry refers to when one party has extensive knowledge about a particular subject…

Q: Commercial papers are traded in the money market capital market private market IPO market O O O

A: Commercial paper is the instrument issued by corporates to raise short term debt capital from the…

Q: A. Why is the goal of financial management to maximize the current share price of the company's…

A: The answer for the question on the financial management is discussed hereunder : What is Financial…

Q: Capital market research relies on the underlying assumptions that equity market is efficient. would…

A: Hi, since you have posted multiple questions, we will answer only the first one, as per authoring…

Q: How should (a) signaling and (b) the clienteleeffect be taken into account by a firm as it considers…

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

Q: How does a firm's dividend policy reflect its approach to financial decision-making, and what are…

A: The concept ensures that the company prioritizes its investments and growth before committing to…

Q: How does a firm’s dividend policy affect each of the following?a. The value of its long-term…

A: A warrant is a security that entitles a holder to buy the stock at a fixed price on a future date.…

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: Show the relationship between the cost of capital and the intrinsic value of a firm.

A: Hi There, Thanks for the posting the question. Per Q&A honor code, The solution for the first…

Q: iscuss the ethics of dividends and illustrate how dividends and related issues (e.g. dividend…

A: A dividend is a payment made by the company out of its total profits to its stockholders.

Q: Discuss the factors which influence the dividend policy of a firm

A: We have to identify the factors that influence the dividend policy of a firm.

Q: how does cost of capital affects a firm's decision on the distribution of dividends?

A: Cost of capital is defined as an required return, which is important for making the capital…

Q: )How would you relate information asymmetry to firm's dividend policy?

A: Information asymmetry means when one party has more information than other party. For example, in a…

Q: Discuss the real-world factors that would encourage firms to follow a high dividend policy.

A: Company is earning profit every year mostly which will be divided into two ways. Firstly, the…

Q: Which of the following theories is supported by the argument that shareholders can transform a…

A: The correct answer is:b. "bird-in-the-hand" theoryExplanation:The "bird-in-the-hand" theory,…

Q: If the financial markets are competitive and complete, which ones of the following goals of a firm…

A: Goal of a firm is always to maximize shareholder's' wealth

Q: Is this statement true or false? Give a reason for your answer. " Relevant or not, frequent changes…

A: Dividend policy is a policy that determines the division of earnings into dividend and retained…

Q: Which of the following factors influence a firm's ability and/or willingness to pay dividends?   a.…

A: A dividend refers to the distribution of profits to the shareholders of the company. A dividend is…

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: Provide a review of these theories.

A: Dividend policy refers to the set of rules or norms that a company follows to decide how much of its…

Q: What are some considerations a company should take into account when establishing dividend policy?

A: there are some considerations a company should take into account when establishing a dividend policy…

Q: discuss the critical issues invlove in implementing the dividend growth model approach and the…

A: Critical issue with “Dividend Growth Model Approach”: Dividend Growth Model is utilized to value an…

Q: A firm’s value depends on its expected free cash flow and its cost of capital. Distributions made in…

A: The correct answer is the last option i.e. Dividend irrelevance theory

Q: If the financial markets are competitive and complete, which ones of the following goals of a firm…

A: A financial market is defined as the marketplace, where the trading of the securities used to occur…

Q: Why would a firm repurchase its stock? Discuss.

A: Repurchasing shares: It is also called buyback of shares. The company purchases its previously owned…