Payments made out of a firms earnings to its owners

Assignment Help Financial Management
Reference no: EM131013453

Payments made out of a firm's earnings to its owners in the form of cash or stock are called: A. dividends. B. distributions. C. share repurchases. D. payments-in-kind. E. stock splits.

Reference no: EM131013453

Questions Cloud

Generates wealth or value and is sustainable over time : Organize your work to create a 2- to 3-page professional memo in a Microsoft Word document outlining your investment plan to the director and an 8- to 10-slide Microsoft PowerPoint presentation script with complete endnotes explaining your recomme..
What will the market price per share be after the split : The Retail Outlet has 6,000 shares of stock outstanding with a par value of $1.00 per share. The current market value of the firm is $420,000. The balance sheet shows a capital in excess of par account value of $136,000 and retained earnings of $234,..
Calculate magnitude of required dv and change in flight path : An earth satellite has a perigee altitude of 1270 km and a perigee speed of 9 km/s. It is required to change its orbital eccentricity to 0.4, without rotating the apse line, by a delta-v maneuver at q ¼ 1000. Calculate the magnitude of the requir..
What is the balance in estimated warranty liability : What is the balance in Estimated Warranty Liability at 12-31-X4 and the balance in Warranty Expense for 20X4, respectively?can you please snow the work, so I can understand the concept of this questiona. $150,000;nbsp; 30,000b. $190,000; nbsp; 30,000..
Payments made out of a firms earnings to its owners : Payments made out of a firm's earnings to its owners in the form of cash or stock are called: A. dividends. B. distributions. C. share repurchases. D. payments-in-kind. E. stock splits.
From a tax-paying investors point of view : From a tax-paying investor's point of view, a stock repurchase: A. is equivalent to a cash dividend. B. is more desirable than a cash dividend. C. has the same tax effects as a cash dividend. D. is more highly taxed than a cash dividend. E. creates a..
Using the internal rate of return method : King’s Department Store is contemplating the purchase of a new machine at a cost of $22,802. The machine will provide $3,500 per year in cash flow for nine years. King’s has a cost of capital of 10 percent. Using the internal rate of return method, e..
Calculate the magnitude of the required delta-v : With a single delta-v maneuver, the earth orbit of a satellite is to be changed from a circle of radius 15,000 km to a collinear ellipse with perigee altitude of 500 km and apogee radius of 22,000 km. Calculate the magnitude of the required delta-..
Standby underwriting arrangement provides : A standby underwriting arrangement provides the:

Reviews

Write a Review

Financial Management Questions & Answers

  Nominal rate of return on large-company stocks

The nominal rate of return on large-company stocks consists of a:

  Annual income is necessary to maintain the purchasing power

If the rate of inflation is 3 percent, goods and services cost that $100 will cost how much at their retirement? How much annual income is necessary to maintain the purchasing power of their $100,000 current income?

  What is the aftertax cash flow from the sale of this asset

Consider an asset that costs $974,000 and is depreciated straight-line to zero over its ten-year tax life. The asset is to be used in a seven-year project; at the end of the project, the asset can be sold for $136,000. If the relevant tax rate is 30 ..

  What are cognitive biases that can affect senior management

What are common cognitive biases that can affect senior management at a financial institution? Provide examples of each. What four qualities would you look for in establishing an effective risk management organization?

  Calculate your net profit and loss on the option contract

You have purchased a call option contract on GE common stock. The option has an exercise price of $79.00 and GE stock currently trades at $80.43. The option premium is quoted at $2.17 per contract (1 contract = 100 shares). Calculate your net profit/..

  The financial breakeven point for each plan

Amarillo Parts is considering purchasing a small firm in the same line of business. The purchase would be financed by either the sale of common stock or by a bond issue. The financial manager wants to evaluate how the two alternative financing plans ..

  Calculate the expected return of portfolio

Mary holds a portfolio with the following securities: Calculate the expected return of portfolio. Round the answer to two decimal places in percentage form.

  Preferred stock with cumulative fixed dividends

Factors that should be considered in taking a stock option position include: Advantages of investing in tax-exempt bond funds include all of the following EXCEPT: Preferred stock with cumulative fixed dividends

  For a typical investor with a wrap account

For a typical investor with a wrap account, how much attention do you think he or she receives from the designated money manager?

  Balance of the retained earnings at the beginning

The balance of the Retained Earnings at the beginning of the year was $950,000 and there were no dividends in arrears. Net income for 2015 was $980,000. What was the amount of dividend declared on each share of common stock during 2015?

  Spot market-dollar exchange rate

Suppose 1 U.S. dollar equals 1.60 Canadian dollars in the spot market. Six-month Canadian securities have an annualized return of 6% (and thus a 6-month periodic return of 3%). Six-month U.S. securities have an annualized return of 6.5% and a 6-month..

  Which is the most common underlying for options

Apple put options strike $460 is trading at $6.35 today. Under what circumstances does the investor make a profit? Under what circumstances will the option be exercised? Draw a diagram showing the variation of the investors profit with the stock pric..

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd