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Dividend reinvestment plans are attractive for investors because: transaction fees are often subsidized by the form dividends are not taxed if reinvested in the plan
Dividend reinvestment plans are attractive for investors because:
- transaction fees are often subsidized by the form
- dividends are not taxed if reinvested in the
- plan firm's pay extra dividend to those enrolled in the plan
- allows the investor to choose the stock that he/she can invest into
A firm that follows a constant payout ratio will most likely have:
- stable dividend payments
- constant amount of dividends per year
- fluctuating dividend payments even when earnings are stable
- fluctuating dividend payments when earnings are fluctuating
A regular stock split:
- changes the amount of par value per stock reduces income of the firm
- increases the treasury shares of the firm
- increases the treasury shares of the firm
- increases the dividend per share paid by the firms
Which of the following statements is incorrect?
- Many firms offer to reinvest stockholders' cash dividends
- In new shares of its stock through dividend reinvestment plans (DRIP).
- Firms with a large number of acceptable capital budgeting projects generally have low dividend-payout ratios.
- The primary factor that influences the dividend policies of companies around the world is the level of protection that exists for the rights of minority stockholders.
Dividend policy that pays a specific dollar dividend each year or periodically increases the dividend at a constant rate:
- constant amount
- constant payout ratio
- residual
- stable, predictable
Dividend reinvestment plans are attractive for investors because:
- transaction fees are often subsidized by the form
- dividends are not taxed if reinvested in the
- plan firm's pay extra dividend to those enrolled in the plan
- allows the investor to choose the stock that he/she can invest into
A firm that follows a constant payout ratio will most likely have:
- stable dividend payments
- constant amount of dividends per year
- fluctuating dividend payments even when earnings are stable
- fluctuating dividend payments when earnings are fluctuating
A regular stock split:
- changes the amount of par value per stock reduces income of the firm
- increases the treasury shares of the firm
- increases the treasury shares of the firm
- increases the dividend per share paid by the firms
Which of the following statements is incorrect?
- Many firms offer to reinvest stockholders' cash dividends
- In new shares of its stock through dividend reinvestment plans (DRIP).
- Firms with a large number of acceptable capital budgeting projects generally have low dividend-payout ratios.
- The primary factor that influences the dividend policies of companies around the world is the level of protection that exists for the rights of minority stockholders.
Dividend policy that pays a specific dollar dividend each year or periodically increases the dividend at a constant rate:
- constant amount
- constant payout ratio
- residual
- stable, predictable
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