Which of the following is NOT a way that a firm can increase its dividend?a.By increasing its dividend payout rateb.By increasing its retention ratec.By increasing its earnings (net income)d.None of them.e.By decreasing its shares outstanding

Dividends paid: a. decrease revenues. b. decrease equity. c. increase liability. d. increase expenses.

Which of the following statements is FALSE?AEstimating dividends, especially for the distant future, is difficult.BA firm can only pay out its earnings to investors or reinvest their earnings.CSuccessful young firms often have high initial earnings growth rates. As firms mature, their growth tends to slow down to a constant and stable rate.DAccording to the constant dividend growth model, the value of the firm depends on the current dividend level, divided by the equity cost of capital plus the growth rate.SUBMIT

Which one of the following statements is False:Group of answer choicesAn empirical study from Lintner (1956) finds that managers and investors seem more concerned with dividend changes than with dividend levels.In Australia, the majority of companies that distribute dividends do so on a quarterly basis.The Miller and Modigliani (1961) dividend irrelevance proposition assumes no cost of issuing shares.The way a firm chooses between paying dividends and retaining earnings is referred to as its payout policy.

When a company pays a dividend the: Group of answer choices Dividend Paid account will increase with a debit. Dividends Paid account will be increased with a credit. Retained Earnings account will be directly increased with a credit. Dividends Paid account will be decreased with a debit.

In theory, a high dividend payout policy should result for the company inALow earnings reinvestment rate and lower growth of net profitBHigh earnings reinvestment rate and lower growth of net profitCLow earnings reinvestment rate and higher growth of net profitDHigh earnings reinvestment rate and higher growth of net profit