Which of the following is considered in designing a dividend policy that is favorable to wealthy owners?
A) the tax status of the firm's owners
B) the political risk of the firm
C) the liability of the firm's owners
D) the reinvestment risk of the firm
A
You might also like to view...
Which of the following is considered a wholesaler?
A) retailer B) broker C) producer D) manufacturer E) farmer
During Year 9, Hart Motors Corp had a net $100,000 decrease in Warranties Payable. The T-account work sheet for preparing the statement of cash flows
a. adds this decrease in Warranties Payable so that cash flow from operations reports cash expenditures, not expenses. b. subtracts this decrease in Warranties Payable so that cash flow from operations reports cash expenditures, not expenses. c. adds this decrease in Warranties Payable so that cash flow from operations reports cash expenses, not expenditures. d. subtracts this decrease in Warranties Payable so that cash flow from operations reports cash expenses, not expenditures. e. subtracts this decrease in Warranties Payable so that cash flow from financing reports cash expenses, not expenditures.
Acme, Inc has prepared its third quarter budget and provided the following data
Jul Aug Sep Cash collections $50,000 $39,600 $46,100 Cash payments: Purchases of direct materials 30,000 21,700 17,600 Operating expenses 12,300 8,000 11,600 Capital expenditures 13,700 24,300 0 The cash balance on June 30 is projected to be $4,100. The company has to maintain a minimum cash balance of $5,000 and is authorized to borrow at the end of each month to make up any shortfalls. It may borrow in increments of $5,000 and has to pay interest every month at an annual rate of 5%. All financing transactions are assumed to take place at the end of the month. The loan balance should be repaid in increments of $5,000 whenever there is surplus cash. How much will the company have to borrow at the end of July? A) $0 B) $5,000 C) $15,000 D) $10,000
Since yield curves are based on a real risk-free rate plus the expected rate of inflation, at any given time there can be only one yield curve, and it applies to both corporate and Treasury securities.
Answer the following statement true (T) or false (F)