1- The policy of distributing profits to shareholders is one of the most important financing policies in...
Question:
1- The policy of distributing profits to shareholders is one of the most important financing policies in the company due to its direct relationship with shareholders and its reflection on the share price in the market.
The dividend policy varies from one company to another according to a number of internal and external factors, which collectively determine the optimal dividend policy, through which the company's management seeks to satisfy its shareholders and achieve its best growth in the future.
Explain the factors affecting the dividend policy of companies. (It is required to explain 7 factors)
Q2-The share repurchase tool is one of the important tools used by the management of public shareholding companies in order to achieve a number of goals.
1. Explain what we mean by repurchasing shares and supporting the answer with a simple numerical example?
2. What are the reasons that motivate the company to buy back its shares?
Foundations of Financial Management
ISBN: 978-1259024979
10th Canadian edition
Authors: Stanley Block, Geoffrey Hirt, Bartley Danielsen, Doug Short, Michael Perretta