1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
pav-90 [236]
3 years ago
11

Split-Div, Inc., has issued quarterly dividends of $0.10 per share each quarter over the last few years. This quarter Split-Div

initiated a 2-for-1 stock split. What is the minimum quarterly dividend the board of Split-Div should approve to avoid sending a bad signal to investors?
a. $0.02 per share
b. $0.05 per share
c. $0.10 per share
d. $0.20 per share
Business
1 answer:
Nuetrik [128]3 years ago
6 0

Answer:

b. $0.05 per share

Explanation:

A stock split is conducted by companies to make investors have additional share(s) for each share they already own. One of the reasons why a company would do this is to make each share less expensive especially if it has realized that similar shares in the industry are selling at a price significantly lower that its own shares. However, it is important to note that the value of each investor's holding remains the same.

In this case, a 2-for-1 stock split means that an investor who has 1 share will now have 2 shares. However, the cumulative value of these shares is equal to the 1 share each held before the split, so is the dividend.

If dividend for 1 share = $0.10 in dividend

with a 2-for-1 stock split, each share should earn a minimum dividend of (0.10 /2 = $0.05) to avoid sending bad signals to investors

You might be interested in
Supply - supply curve - and supply schedule are:Multiple choice question.all the same.three different ways of expressing informa
Tanzania [10]

Supply, the supply curve, and the supply schedule are three different ways of expressing information about the supply of a good - service - or resource

<h3>What are ways of expressing supply?</h3>

When we speak of supply, we refer to the quantity of goods and services that producers give to the market for sale.

The supply curve then shows the different prices and quantities that these goods would be sold in while the supply schedule does the same but in a non-graphical format.

Find out more on the supply schedule at brainly.com/question/2094262.

#SPJ1

6 0
2 years ago
Dillon Labs has asked its financial manager to measure the cost of each specific type of capital as well as the weighted average
uranmaximum [27]

Answer:

<em>You didn't post the complete information of the exercise, I searched the exercise online and tried to ask the most useful question.</em>

Explanation:

Please consider the data provided by the exercise. If you have any question please write me back. All the exercises are solved in a single sheet with the formulas indications.  

3 0
3 years ago
Identify how planned investment will change in each scenario. Airwings, a commercial airline manufacturer, becomes optimistic ab
kari74 [83]

Answer:

See explaination for the details of the answer.

Explanation:

1) Increase

As business is optimistic about its future, such business will start capacity expansion to cater for consumer demand.

2) Decrease

Higher real interest rate simply means borrowing cost is higher for the firms and so that they will reduce the investment in respose to that.

3) Decrease

A lower tax means higher profits and firms can pass these benefits to consumers with lower prices, to employees with higher wages and to the government with tax on profit. However, if the rate of tax itself has been increased then in that case corporates will see higher tax as a dampener in sentiments and they might curtail investment plans.

4) Decrease

A recession means there will be lesser economic activity overall and demand will be lower so as the consumption. In such case, planned investment will be reduced.

7 0
2 years ago
Which of the following determines the process that a company will use to create its product? Group of answer choices a firm's mu
tekilochka [14]

Answer:

The answer is a firm's business level strategy

Explanation:

A strategy is a blueprint or a plan which spells out the major policies of an organisation, its goals and actions that will enables it to achieve the organisational objectives.

A firm business level strategy is a tool aimed at improving the competitive position of a firm's products within the market segment or industry that the firm operates.  It focuses on how a firm will satisfy customer's needs and gain competitiveness in the market in which it operates by  exploiting opportunities in market.  

6 0
3 years ago
At December 31, 2019, Bramble Corporation had the following stock outstanding. 10% cumulative preferred stock, $100 par, 108,506
ale4655 [162]

Answer:

The earnings per share for Bramble in 2020 is $2.99

Explanation:

This was arrived at by preparing income statement for 2020,where in the results from continued operations and discontinued were shown.

The income from continued operations attracted tax at 35% while the losses from the discontinued operations got a tax benefit at the same 35% tax rate.

Note that the earnings used in calculating earnings per share is net of preferred dividends as only earnings  attributable to ordinary shareholders are considered.

Find attached spreadsheet for the full blown income statement and the calculation of earnings per share.

Download xlsx
5 0
2 years ago
Other questions:
  • Which of the following will result in the recognition of gross income?
    11·1 answer
  • At an aquarium, 6 out of 18 deliveries are plants. Out pf 15 deliveries in one week, how many are plants?
    10·1 answer
  • The term _____________ describes a situation where a ________________ causes a reduction in the buying power of income, even tho
    8·1 answer
  • 1. Sales discounts with terms 2/10, n/30 mean: a. 10 percent discount for payment within 30 days. b. 2 percent discount for paym
    15·1 answer
  • Find the future values of these ordinary annuities. Compounding occurs once a year. Do not round intermediate calculations. Roun
    13·1 answer
  • The desire for which item(s) would be considered a noneconomic want?
    14·1 answer
  • The distinction between _____ is what defines an MNE from a firm that merely exports or imports.a. small- and large-scale of ent
    14·1 answer
  • Idle Time Gaming, Inc., has reached the point where it needs several million dollars in order to expand and follow its strategic
    10·1 answer
  • In the Month of March, Digby received orders of 123 units at a price of $15.00 for their product Deal. Digby uses the accrual me
    8·1 answer
  • Suppose the demand function​ (D) for golf clubs​ is: Q​P, where P is the price paid by consumers in dollars per club and Q is th
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!