Unformatted text preview: c. To provide stock for employee stock compensation contracts or to meet potential merger needs; d. To thwart takeover attempts or to reduce the number of stockholders; e. To make a market in the stock. 19) What factors influence the dividend policy of a company? The factors that influence the dividend policy of a company are: • The type of shareholders (taxable or nontaxable, retail or institutional investor) • Securities market • Stability of earnings • Investment opportunities...
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- Spring '10
- Dividend Policy, potential merger needs, stock compensation contracts