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- How is it possible for an employee stock option to be valuable even if the firms stock price fails to meet shareholders expectations?Why might a stock dividend or a stock split be of limited value to an investor? What about a stock repurchase? Does it make sense for a corporation to repurchase its own stock?under what circumstances might a company choose not to pay dividends?
- why would investors prefer to invest in a company with a regular divided policy than a company with a low regular and extra dividend policy?How is it possible for an employee stock option to be valuable even if the firm’s stock price fails to meet shareholders’ expectations?Would you prefer to invest in a company that has a regular dividend policy or a company that has a low regular and extra dividend policy? Please explain
- If stock dividends and stock splits don't give shareholders significant value/ amount, why do you think companies decide to still make use of them?If the stock market is efficient, why do companies manage their earnings? O To avoid violating debt covenants. O To receive bonuses based on reported earnings. O Because companies do not believe the Efficient Market Hypothesis. O All of the above.To what extent do you feel the company’s dividend policies support or hinder their strategies? For example, if the company is attempting to grow, are they retaining and reinvesting their earnings rather than distributing them to investors through dividends? Be sure to substantiate your claims.
