Money for reinvestment and growth purposes

Assignment Help Financial Management

Reference no: EM131180504

The newly elected Ceo of Health Concepts wants to reduce the dividends paid out to shareholders in order to keep more money in the money for reinvestment and growth purposes. He increases the amount of capital expenditure projects to 5 and each of them cost $1,500,000. For each of them, 30% is going to be taken from equity. A recent 10-Q disclosure for Health Concepts revealed that it had $2,450,000 in retained earnings. You have 1,000,000 shares outstanding. What is the dividend per share?

Reference no: EM131180504

Questions Cloud

Review companies of interest in areas of operations : Select and review Operations and Supply / Value Chain as well as the global competitive landscape for one company in your industry using the IBISWorld and Mergent Online databases found in the University Library along with official company report..

What is the overall value of the levered firm : The unlevered firm expects to earn $250,000 in net operating income each year for the foreseeable future. It has a tax rate of 40% and has a capitalization rate of 8% equal to the industry required return for this type of firm. With all benefits and ..

Why you have a negative evaluation of the theory area : Discuss why you have a negative evaluation of the theory area. In addition, state what you believe the theory effectively accomplishes. Discuss what you would write to the FASB if you had the opportunity to suggest a modification, etc., of the theo..

Determine the average velocity of the particle : During a hard sneeze, your eyes might shut for 0.38 s. If you are driving a car at 96 km/h during such a sneeze, how far does the car move during that time?

Money for reinvestment and growth purposes : The newly elected Ceo of Health Concepts wants to reduce the dividends paid out to shareholders in order to keep more money in the money for reinvestment and growth purposes. What is the dividend per share

Finds the break even volume : Finds the break-even volume at a price of $10 to be 10,000 units, should it price its product at $10? Why or why not?

After-tax cash flow effect from deprecation : What is the after-tax cash flow effect from deprecation of switching to the new food maker for EHC if the company's tax rate is 30 percent and the correct discount rate is 12 percent?

Practical application of financial management : The research paper in this course gives you the opportunity to study an important healthcare finance problem or challenge, analyze it in depth, and present your findings in an APA-formatted paper. I was thinking of writing it on "Cuts in Medicaid..

Would residents of the larger cities come to the events : How would they determine what events to bring to the center? How would they determine the "draw" to the events? Would residents of the larger cities come to the events?

User Account

All Pages