Question: DIVIDEND CASE STUDY: ASSIGNMENT QUESTIONS 1: What type of dividend policy did Berkshire Hathaway adopt? Has the company appropriately followed the policy? 2: Is Buffet's

DIVIDEND CASE STUDY: ASSIGNMENT QUESTIONS

1: What type of dividend policy did Berkshire Hathaway adopt? Has the company appropriately followed the policy?

2: Is Buffet's reasoning for preferring share repurchasing valid?

3: Is a "homemade dividend" (selling a small portion of shares) a viable alternative to cash dividends for the investor?

4: What factors should Berkshire Hathaway consider when deciding whether to pay a dividend? How will those factors affect the company's decision?

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