Question 18 Apple Inc is one of the most talked about companies. From its success in iPod
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Question 18
Apple Inc is one of the most talked about companies. From its success in iPod to the latest iPhone, the company has enjoyed a healthy increase in earnings for the past years. However, the company has maintained its no dividend policy until August 2013. Discuss the various financial theories on dividend policy, for example, the Dividend Irrelevancy Theory, Tax Clientele Theory, and the Signalling Effect of Dividend Policy. In your answer, you should also discuss the implications of a no dividend policy such as the one adopted by Apple Inc might have on the company.
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