DIVIDEND POLICY

Below that is not an activity of the company to financial management decisions is..

• Financing Activities

• Investing Activities

• Operating Activites

• Production Activities

The explicit or implicit decision of the Board of Directors regarding the amount of residual earnings (past or present) that should be distributed to the shareholders of the corporation is called..

• Retained Earning

• Dividend Policy

• Bird in Hand

• Agency Theory

The profits of the corporation are an important source to financing the firm, that is the decisions of the dividend policy is called..

• Operating Decisions

• Investing decisions

• Financing decisions

• Production decisions

Dividends can be in the form of..

• Cash, stock dividend, property

• Debt, account receivable, earnings

• retained earnings and stock split

• Financing, investment, operating

If a firm is dissolved, at the end of the process, a final dividend of any residual amount is made to the shareholders . This is known as a...

• Declaration date

• Consolidation Dividend

• Bird in the hand argument

• Liquidating dividend

The blank answer above is..

• Split Stock

• Profitability

• Dividend policy

• Retained Earnings

A payment to lenders for the use of their funds for a given period of time is called ...

• Debt

• Interest

• Tax

• Obligation

This one is not Mechanics of Cash Dividend Payments is..

• Payment Date

• Declaration Date

• Holder of Record Date

• Stock Split

The purpose of a stock split is to ....

• increase share price

• selling the stock

• change in shareholder wealth

• decrease share price

Because of the ...................... stock dividends reduce the firm’s ability to pay dividends in the future.

• Residual theory of dividends

• Ex-dividend date

• capital impairment rule

• Dividend reinvestment plans