3. Log onto the S&P Market Insight Web site, www.mhhe.com/edumarketinsight. Click STANDARD on “Company,” which is the first box below the Market Insight title. Type the Exxon- & POOR'S Mobil ticker symbol “XOM” in the box and click on Go. Scroll down the left margin and click on “Stock Reports” and then after the window reopens, click on the stock report on the first line.

1.. Look at the quarterly dividends on the bottom right comer of the first page of the report. Notice the dividend payment process. Quarterly earnings statements and dividend payments are relatively consistent from year to year. Given the time of year right now, estimate when the next dividend will be declared, the ex-dividend date, the stockholder of record date, and the actual payment date.

2.. Scroll down to the bottom of the second page and find the per share data section at the top of the 10-year table. If you were a stockholder, would you expect a higher or lower dividend in the next period or do you expect the dividend to stay the same? Why?

3.. In the same section, examine the payout ratio over the 10-year time period. What is the payment pattern? Make an educated guess as to why the dividend payout ratio follows the pattern that it does.

4.. Now repeat the exercise using Adobe Systems (ADBE).

5.. What can you say about the dividend life cycle that might explain the difference between these two companies’ dividend policies?

6.. Summarize your findings in one single-spaced typewritten page.