why do you think a company would offer to pay a stock dividend instead of a cash
Fantastic news! We've Found the answer you've been seeking!
Question:
why do you think a company would offer to pay a stock dividend instead of a cash dividend? Also, if a company is having solvency issues, should they not offer dividend at all? Why or Why not?
Expert Answer:
Answer rating: 100% (QA)
A company may offer to pay a stock dividend instead of a cash dividend for several reasons 1 Cash conservation The company can use stock dividends as a way of keeping in the business similar amounts o... View the full answer
Posted Date:
Students also viewed these finance questions
-
1 What are the main components of personal financial planning? Solve What is the purpose of a financial plan? Solve Identify some common actions taken to achieve financial goals. How does a job...
-
In January, the board of directors of the Montgomery Corporation, one of Canada's largest retail store chains, was having its regularly scheduled meeting to establish and declare the next quarterly...
-
First, spend a couple of sentences summarizing the Concepts in the article below ? Then, answer the following. In the Concepts in Article, the speaker mentioned, "A stock is fundamentally more...
-
The California State Auditors Office assesses the fiscal health of the states cities and posts the information on Fiscal Health of California Cities (www.auditor.ca.gov/ bsa/cities_risk_index). The...
-
Smart Inc. is a wholly owned subsidiary of Wealth Corporation. Smart operates in Canada and is deemed to have a functional currency of the Canadian dollar. Wealth is a Chinese company that has a...
-
Who in the organization is generally in charge of managerial accounting?
-
Madisons, Inc. has decided to acquire a new machine either by an outright cash purchase at \(\$ 25,000\) or by leasing alternative of \(\$ 6,000\) per year for the life of the machine. Other relevant...
-
Dallas Office Systems has annual sales of $2,250,000 with variable expenses of 60 percent of sales and fixed expenses per month of $25,000. By how much must annual sales increase for Dallas Office...
-
Evaluate a situation in which you received Negative Organizational News. Was...? a. the message conveyed as soon as possible? b. a complete rational explanation given? c. empathy shown? d. a follow-up
-
Problem 16-8 (Algo) Effect of bond rating change [LO 16-2] The yield to maturity for 25-year bonds is as follows for four different bond rating categories. Use Appendix B and Appendix D for an...
-
1. The TPD monitors adverse events for vitamin supplements commercialized and distributed in Canada? A) True B) False 2. Health product advertisements directed to consumers and health professionals...
-
Kristen Meyer, owner of Flower Power, operates a local chain of floral shops. Each shop has its own delivery van. Instead of charging a flat delivery fee, Meyer wants to set the delivery fee based on...
-
Identify three situations in above mentioned workplace where additional precautions are required to prevent and control infection. Summarise the additional precautions required in each of the...
-
Your independent film production company owns the rights to a script for a rom-com movie. They estimate that the script would cost $30 million to make into a movie, which would have a 35% chance of...
-
Which enforcement functions (if any) do you think are best suited to a commission or bounty style payment system?
-
I A tank contains 100 kg of salt and 1000 L of water. A solution of a concentration 0.05 kg of salt per liter enters a tank at the rate 7 L/min. The solution is mixed and drains from the tank at the...
-
Solve each equation. x 3 - 6x 2 = -8x
-
Employees at Guthrie Co. worked three days at the end of 2008 and earned \($5,400\). They will be paid for this work at the next payroll date on January 9, 2009. What is the adjusting entry that...
-
Gomez Corp. has the following credit purchase transactions in the month of October. Oct. 4 Purchased merchandise from Benjamin Inc. under the following terms: \($950\) price; invoice date 10/2,...
-
On May 1, 2008, a two-year insurance policy was purchased for \($12,000\) with coverage to begin immediately. What is the amount of insurance expense that appears on the companys income statement for...
Study smarter with the SolutionInn App