Fundamentals of Corporate Finance. Chapter 17 Payout Policy

. 1) What are the two ways corporations pay out cash to shareholders?

2) What companies are more likely to pay dividends?

3) What companies are not likely to pay dividends? Give examples.

4) Name and describe the 4 dividend dates.

5) What do states prohibit in regards to dividends?

6) Companies are not allowed to pay dividends past what point?

7) Describe stock dividends and stock splits.

8) What is stock repurchases?

9) Name and describe the 4 methods of stock repurchases.

10) What is green mail?

11) What are some managers dividend policies? Describe "smoothing dividends".

12) Describe good and bad news regarding stock dividends.

13) What does Modiligliani and Miller's argument state?.