You are required to explain concepts given below in maximum in one paragraph in your own words . Answers must be serial wise

1. In what situations should a firm consider the use of stock dividend?
2. If all things equal, when diversification is most effective?
3. Why Profitability index is the best method for capital budgeting.
4. Which dividend policy does not affected by variation in the earning in different periods and why?
5. Please explain why account payables and accruals provide spontaneous funds to a growing firm
6. Which share repurchase method is most flexible and cost effective and why?.