A special dividend is associated with a period of especially poor company performance
Indicate whether the statement is true or false.
Answer: FALSE
Explanation: A special dividend is associated with a period of especially GOOD company performance.
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Long-term investments in held-to-maturity debt securities are accounted for using the:
A. Cost method without amortization. B. Fair value method with fair value adjustment to income. C. Fair value method with fair value adjustment to equity. D. Equity method. E. Cost method with amortization.
Companies that practice ________ introduce policies that consider environmental, societal, and financial impacts in their decision making
Fill in the blanks with correct word
On January 1, Year 1, Jones Company issued bonds with a $150,000 face value, a stated rate of interest of 8.0%, and a 5-year term to maturity. The bonds were issued at 99. Interest is payable in cash on December 31st of each year. The company amortizes bond discounts and premiums using the straight-line method.What is the total amount of liabilities shown on Jones' balance sheet at December 31, Year 2?
A. $149,100 B. $147,900 C. $148,800 D. $148,500
Warren Supply Inc. is evaluating its capital budget. The company finances with debt and common equity, but because of market conditions, wants to avoid issuing any new common stock during the coming year. It is forecasting an EPS of $3.00 for the coming year on its 500,000 outstanding shares of stock. Its capital budget is forecasted at $800,000, and it is committed to maintaining a $2.00 dividend per share. Given these constraints, what percentage of the capital budget must be financed with debt?
A. 30.54% B. 32.15% C. 33.84% D. 35.63% E. 37.50%