5.22 -Dividend per Share

Dividend per share means the part of a company's earnings paid directly to stockholders for each share of common stock. For companies with preferred stock, the dividends for the preferred stock are identified separate of the dividends for common stock.For some investors dividend income is very significant.Dividends provide income to investors even when the market price for the share may decline.

Companies with a strategic focus on growth may choose to reinvest all their earnings in the company.Typically growth companies will pay low or no dividend. Often, companies might pay high dividends to their shareholders when they have reached their maturity and there is little opportunity for growth. For mature companies, a more effective use of the earnings is to return them to the shareholders in the form of dividends.

Enter the amounts, for all three periods, for the Dividend Per Share of common stock from your company's Income Statement.

Enter the amounts in dollars from the SEC Form 10K, for the current year, the previous year and the next previous year.Describe the trend direction for the Dividend Per Share. Use phrases like: up only this year but level in previous years, consistently up, down only this year, consistently down or level for all years.Also, in your opinion is the trend positive, negative, insignificant?

Last, in your opinion, explain why the Dividend Per Share for your company's stock is or is not adequate for its future.

Question 5.22 - Dividend per Share

Accounts

a= Current Yr

b= Previous Yr

c= Next Previous Yr

d= Trend Description

A

Dividend Per Share

a=$1.48

b= $1.40

c= $1.32

d= ?

B

Why is or is not the Dividend Per Share adequate for your company's stock?