Stock Dividend

Green, Inc. had 200,000 shares of common stock outstanding before a stock split occurred and 800,000 shares outstanding after the stock split. The stock split

A company's board of directors votes to declare a cash dividend of $1.10 per share. The company has 22,000 shares authorized, 17,000 issued, and 16,500 shares outstanding. The total amount of the cash dividend is:

Split-up: An arrangement whereby a parent corporation transfers all of its assets to two or more corporations and then winds up its affairs. When a split-up occurs, the shareholders of the parent corporation surrender the total amount of their stock in exchange for stock in the transferee corporation.

The majority of share divisions are mostly two for one split. This implies the stockholders get two stocks and shares for the price of one share. In case the share cost $10, the stockholder will get 2 $5 shares instead.

Dividends: The amount of money, normally a portion of the profits, which is distributed to the shareholders.

First and foremost, Apex must insist on the right to elect one director to the board. Series A investors already have one seat, and the current voting clauses allow Series A to effectively retain control of decision making by requiring 2/3rds majority for many key decisions. Should future funding rounds be required, those investors may insist on seats on the board.

They have had 14 stock splits in their history including 3 for 1 five times

· * From the e-Activity, contrast the differences between a stock dividend and a stock split. Imagine that you are a stockholder in a company. Determine whether you would prefer to see the company that you researched declare a 100% stock dividend or declare a 2-for-1 split. Provide

Dividends per share: are equal to the amount of net income distributed to shareholders divided by the number of shares outstanding.

14. A firm's cash dividends were $3.96 per share of common stock for calendar 2006. In 2007 the stock was split 3 for 1, and in 2008 a 10% stock dividend was issued. Dividends per share for 2006, to be reported in the firm's annual report for 2008, are:

* The date on which employment began and when continuous employment began (For example any previous employment which counts towards continuous service)

The decision to set the target price per share to $20 in the will result in the need for a stock split. At a current value per share of $5,233 this split will have to be substantial. Dividing this number by the target share price yields the required split ratio, which in this case results in a split ratio of $5,233 / $20 = 261.64. Thus, one share would be converted into approximately 262 shares, which would increase the total number of shares outstanding from 9,000 to 2,354,792.

A cash dividend is a cash payout from a stock. Investors receive a fraction of the issuing company’s retained earnings, based on the number of shares they own. A stock dividend is a payment in the form of additional shares. The company pays dividends in the form of additional shares of stock instead of cash. Companies usually distribute either kind of dividend to reward their stockholders’ since they are not required to pay or offer anything. Cash dividends affect the company’s retained earnings, which affects the stockholders’ equity. Stock Dividends does not affect the total stockholders’ equity. Stock dividends are transferred from Retained Earnings to Contributed Capital. Yes, the action that Sandra Bass has proposed is ethical.

It has the option to distribute the cash in the form of dividends. Shareholders were taxed on cash dividends at ordinary income rates whereas gains realized on shares that were repurchased received capital gains treatment.

7. Hypothesis Testing: The formulated hypothesis in the study that whether abnormal returns are generated by stock split was tested by conducting paired sample t test using SPSS for the sample of companies for period ranging from -60 to +60 days. The two variables compared were the normal returns and the expected returns ( based on BSE returns)