Answer all of the questions in your initial post

Answer all of the questions in your initial post -...

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swer all of the questions in your initial post: 1. As the company Treasurer, the Board of Directors has asked you to comment upon a proposal to initiate dividend payments to the company’s common shareholders. The Board wants you to address: signals does the initiation and continuance of the dividend payments make to the market What? Controlling initiations for the life cycle of the dividend and a positive announcement will affect the sentiment for the dividend payout. A stable firm with high profits and a low growth rate can generate a lot of cash. Also any lag in
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Unformatted text preview: reporting dividend premium is related to the rate of ignition and continuance of dividend. If the company is to be profitable it will be able to share in its profit by providing payouts to the stock holders. If profits are low with a company the dividend payments will decline. Stock buybacks can make shares of stock more valuable and offer a greater percentage of equity in the company. Stock buybacks can be bad if the company is paying too much for the stock....
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This note was uploaded on 09/10/2011 for the course ACCOUNTING IS 160 taught by Professor Taylor during the Spring '11 term at Herzing.

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