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What is the characteristics of Participation in excess of stated dividend rate?
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Is every quadilateral a rectangle?
No. In order to be a rectangle, -- its opposite sides must be parallel, and -- it must have an interior right angle. Rectangles also share other characteristics. But those need not be stated, because they'll result from those two minimum requirements.
What are the assumptions of MM approach?
The MM approach to irrelevance of dividend is based on the following assumptions:· The capital markets are perfect and the investors behave rationally.· All information is freely available to all the investors.· There is no transaction cost.· Securities are divisible and can be split into any fraction. No investor can affect the market price.· There are no taxes and no flotation cost.· The firm has a defined investment policy and the future profits are known with certainty. The implication is that the investment decisions are unaffected by the dividend decision and the operating cash flows are same no matter which dividend policy is adopted.The modelUnder the assumptions stated above, MM argue that neither the firm paying dividends nor the shareholders receiving the dividends will be adversely affected by firms paying either too little or too much dividends. They have used the arbitrage process to show that the division of profits between dividends and retained earnings is irrelevant from the point of view of the shareholders. They have shown that given the investment opportunities, a firm will finance these either by ploughing back profits of if pays dividends, then will raise an equal amount of new share capital externally by selling new shares. The amount of dividends paid to existing shareholders will be replaced by new share capital raised externally.In order to satisfy their model, MM has started with the following valuation model.P0= 1* (D1+P1)/ (1+ke)Where,P0 = Present market price of the shareKe = Cost of equity share capitalD1 = Expected dividend at the end of year 1P1 = Expected market price of the share at the end of year 1With the help of this valuation model we will create a arbitrage process, i.e., replacement of amount paid as dividend by the issue of fresh capital. The arbitrage process involves two simultaneous actions. With reference to dividend policy the two actions are:· Payment of dividend by the firm· Rising of fresh capital.With the help of arbitrage process, MM have shown that the dividend payment will not have any effect on the value of the firm. Even if the firm pays dividends, resulting in a increase in market value of the share, the effect on the value of the firm will be neutralised by the decrease in terminal value of the share.
What is null hypothesis in negatively stated in hypothesis formulated?
a negatively stated hypothesis. example: the application of horse manure has no significant effect!
What is does a horizontal line mean on a speed time graph?
It means the speed doesn't change. Stated in different terms, the acceleration is zero.It means the speed doesn't change. Stated in different terms, the acceleration is zero.It means the speed doesn't change. Stated in different terms, the acceleration is zero.It means the speed doesn't change. Stated in different terms, the acceleration is zero.
What are the ways that a growth rate may be stated or expressed?
It may be stated as a doubling time, a birthrate per female, or a percentage of growth per year
What can you say about the dividend and divisor A three digit number is divided by a one digit number the quotient is a two digit number?
A dividend is is a number to be divided and a divisor is a number to be divided into a dividend. Here the dividend is a three digit number and is divided by a one digit divisor. The quotient or result is a two digit number as stated. So in math terms, we can state that the dividend is a three digit number and that the divisor is a one digit number.
When energy is ingested in excess of needs the excess?
It is stated that if the excess foods are ingested beyond the body's energy needs, the excess foods are then converted into fat. It is also stated that if insufficient calories are ingested then the deduction of energy is made up by oxidizing fat reserves.
He stated that he did not want to pay taxes because he could not support certain policies of the U.S. government. These included?
Slavery and participation in the Mexican-American War.
Why was the dawes act well intended?
Officially, its stated intent was to provide Indians with official ownership of land en thereby, to help them integrate in American society. Another stated intent however was to take away from them by purchase the "excess" land that they were then using, and giving that land to non-Indians. Of course it was the Government that would decide what "excess" was and it was also the Government that unilaterally would decide what a 'fair price' would be. It is therefore a matter of opinion whether the stated good intentions of the Dawes act were sincere. Looking at how the act worked out, it put the Indians in reserves and the price they got for their 'excess' land would today be considered far from fair.
What are the 4 characteristics of coins?
denomination (how much is it's stated value, nickel dime etc.) country of origin, what it is made of and how old is it
What are dividends?
an order of payment (such as a check payable to a shareholder) in which a dividend is paid
What does the term excess in travel insurance mean?
In the USA excess usually means that the benefits are over and above any other insurance that you might have in your primary policy, For example, a homeowners policy may provide a stated benefit for lost luggage while traveling. For an additional premium, you may be able to buy an excess travel policy that provides benefits for an additional amount of coverage for the same type of loss.
If you buy a share a day before the ex-date and sell it the next day ie on the ex-date will you still be eligible for the right isuuedividend?
My bet is that ownership of shares is determined at the close of markets on the stated date and if you sold it during the day, you would not collect the dividend.
What does box A mean on a car title?
Relates to the Odometer Codes on the Arizona Department of Transportation Vehicle Division, Title Registration Application. It is a section of Checked Boxes A The Mileage stated reflects the actual mileage B The Mileage stated is in excess of the odometer's mechanical limits C The odometer reading is not the actual mileage. WARNING - ODOMETER DISCREPANCY
What are the 5 characteristics of the quest in Chapter 1 of How To Read Literature Like A Professor?
a quester, a place to go, a stated reason to go there, challenges and trials en route, a real reason to go there
Paid-in capital in excess of par?
Par Value or Stated Value is essentially the "Face Value" or the initial offering price of a share of stock (whether for a public or privately held company). Paid-in capital is anything the company receives from stockholders for the sale of stock above and beyond the par value, i.e. in excess of Par.This excess received from stockholders over par-valueor stated-valueof the stock issued is also called contributed capital in excess of par.For example, if 1000 shares of $10 par value common stock is issued by the company at a price of $12 per share, the additional paid-in capital is $2000 (1000 shares x $2). Additional paid-in capital is NOT an asset or a liability to the company, it is shown in the stockholder-s-equitysection of the balance sheet. (Assets = Liabilities + Equity)
Characteristics of a divisible letter of credit?
the characteristics of letters can be written by a company or individual informing its recipient of some items which are to be collected. The collection information such as items, date, time and place are stated for the recipient's convenience. A time frame is usually imposed for the collection to be done to avoid disposal or forfeiture of the items to be collected..a .
