Sweet, Ness and Light Pty Ltd has had a profitable year; now the question is whether a dividend should be paid. Bill says no dividend should be paid - reserves should be increased. Jack agrees with his father. Daniel and Yvette say that they will be guided by the advice of the chief accounting officer. Maxwell and Elliot say that it is up to the family to decide. Jacinta threatens action on the basis of oppression if she does not receive a dividend of 20%.

a. As chair what should Bill do?

b. Does the company have to pay dividends?

c. Who makes the decision as to whether a dividend is paid, and how much the dividend should be?