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Case 4B: Dividend Policy of Linear Technology: Write a short report (not more than 5 pages, double-spaced), developed around the following: Describe the payout policy
Case 4B: Dividend Policy of Linear Technology:
- Write a short report (not more than 5 pages, double-spaced), developed around the following:
- Describe the payout policy of Linear Technology.
- Why do firms pay dividends? Why has the rate of dividend initiations changed over time?
- Should Linear return cash to its shareholders?
- If Linear were to pay out its entire cash balance as a special dividend, what would be the effect on value? On the share price? On earnings? On earnings per share?
- What if Linear Technology repurchased shares instead of providing a pay out?
- What should Paul Coghlan recommend to the board?
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Business Statistics For Contemporary Decision Making
Authors: Black Ken
8th Edition
978-1118494769, 1118800842, 1118494768, 9781118800843, 978-1118749647
