Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

As of Q2 2023, our non-financial companies hold the largest cash and marketable securities. Big portion of this amount was from big tech companies. Apple

As of Q2 2023, our non-financial companies hold the largest cash and marketable securities. Big portion of this amount was from big tech companies.

Apple $167 b

Google $118 b

Microsoft $111 b

Amazon $64 b

Even though these big tech companies have started paying little dividends as well as some large ones, they still hold substantial cash.Now the question is what to do with this money. Do you think they should give another large dividend and/or increase dividends payments substantially to its shareholders or keep buying back their own shares even though their stock prices are up substantially this year? Our focus here is trying to find the best idea that will increase the shareholders' wealth.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Handbook Of Business Valuation

Authors: Thomas L. West, Jeffrey D. Jones

2nd Edition

0471297879, 978-0471297871

More Books

Students also viewed these Finance questions