Production Manager took a quick look at the paper and said, $"$It seems like our reve$1$ trending down, which, of course, means lower profits. And remember that we also pa areholders as good a dividend as any of our competitors, if not better."

stu recalls that the company paid about $40\%$ of it profits as dividends last year. He has f on declaring dividends this year, but wants a pros and cons analysis on paying divide e wonders how the business's cash situation would be affected if the corporation stuck sual policy of paying out $40\%$ of profits to shareholders. The company typically waited pplier bills came due before paying$-$ what if they delayed paying? That could certainly