When purchasing a company's stock, what would be your primary factors in valuing that stock?

Q: why does the value of a share of stock depend on dividends?

A: Dividend on stocks: Dividend is the proportion of profit that the company distributes among its…

Q: What are the three ways in which a company can repurchase stock?

A: The stock repurchase is the method by which the company uses the situation of undervalued trading in…

Q: How does the purchase of treasury stock affect the purchaser’s assets and total equity?

A: Treasury stock: It can be defined as the stock that is repurchased or bought back by the issuing…

Q: When a company issues STOCK DIVIDENDS, what happens to the market value of its stock and what…

A: A company sometimes issue stock dividends in which instead of paying the shareholders cash dividends…

Q: whats the return on assets? whats the return on common stockholders equity?

A: The Return on assets It is the return ratio calculated by dividing Net income by total average…

Q: what is the price of company stock? iS IT WORTH TO INVEST IN? EXPLAIN

A: We are given some financial ratios  for 3 consecutive years for a company based on which we need to…

Q: A. Why is the goal of financial management to maximize the current share price of the company's…

A: The answer for the question on the financial management is discussed hereunder : What is Financial…

Q: What factors are important when calculating the intrinsic value of a stock?

A: Intrinsic value is the current value of the stock. It is calculated by using the following formula:…

Q: What is a stock split.  How does shareholder's equity change after a stock split?

A: Shareholder’s equity: It is the owner’s share in the business after paying off all the liabilities…

Q: How does the return on common equity show the relationship between net income and the common…

A: The return on equity is the percentage earned on the equity investment made by the company. It shows…

Q: How do stock dividends and splits affect stock prices?

A: Answer: Unlike cash dividends, stock dividends and stock splits also influence the market price of a…

Q: How is treasury stock purchased? What ethical issues may arise from buying back company stock?

A: Treasury stock can be defined as the portion of equity which is not available for public to trade,…

Q: What factors should a stock analyst think about indetermining the value of a share of stock?

A: Shares are financial instruments that give the holders the status of owners. They enjoy the right to…

Q: Why might a stock dividend or a stock split be of limited value to an investor?  What about a stock…

A: Stock Dividend:When the corporation paid a dividend to stockholders in the form of stock instead of…

Q: You want to evaluate the stock of a company. Answer the following questions to guide your analysis…

A: The stock analysis refers to the analysis of the return and risk of the stocks and the portfolio.…

Q: What does it mean for a company to “go public” and “list” its stock?

A: The companies issue the Initial public offer (IPO) in the market to become the public traded company…

Q: How will the issuance of stock dividends affect total equity?

A: Dividend is the term of accounting which is defined as the distribution of the earnings of the…

Q: What is stock receipt? What consideration should be taken in the stock receipt?

A: Receipts are a legal document that serves as documentation of a financial transaction or purchase.…

Q: Comment on Stock Inspection?

A: A stock (also identified as equity) is a type of security that represents ownership of a portion of…

Q: Explain the concept of ‘buying back of shares by a company. What are the effects of such a buy-back?…

A: Shares are the units of the equity ownership of a corporation that is held by the shareholders of…

Q: Where can authoritative IFRS be found related to dilutive securities, stock-based compensation, and…

A:

Q: What is treasury stock? Why would a company repurchase its own stock? How might they dispose of the…

A: Stockholders’ equity is the measure of assets staying in a business after the sum total of the…

Q: How do we determine the book value of a stock?

A: Book value is the value of total equity or net asset value of the business. The book value of stock…

Q: What is the difference between a stock dividend and a stock split?

A: Stock: It can be defined as the unit that reflects the equity stake or ownership interest in a…

Q: What other techniques can be applied to compute the intrinsic value of shares of the company?

A: Intrinsic value is the value inherent in the stock of a company based on how well it is expected to…

Q: What is stock split? How is it equivalent to paying a dividend?

A: The stock split is events that increase the outstanding shares and reduce the stated par value. For…

Q: What is a stock repurchase? Describe the procedures a company follows when it makes adistribution…

A: Stock repurchase means a company instead of giving cash as dividends to the shareholders buys their…

Q: If a company is thinking about issuing preferredstock to raise capital, what are some factors thatit…

A: Preferred stocks are the stocks which are redeemed by the firm before the redemption of equity…

Q: What factors are important when calculating the intrinsic value of a stock?

A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: Discuss the nature of stock as an investment.  Do most stockholders play large roles in the…

A: Stockholders are the proprietors of a corporation. It is a kind of investment which provides high…

Q: How do you prepare a statement of stockholders' Equity?

A: Lets start with basic understanding. Stockholders equity also known as statement of changes in…

Q: What is a Stock Split and Stock Dividend?

A: The two terms Stock dividend and stock split are always confused because of a number of similarities…

Q: why a specific company would purchase the stock of another and provide an example

A: The stock values of the two companies typically move in predictable opposing directions after an…

Q: What do you mean by private placement of shares? What are the options for a company?

A: It happens when an organization makes a contribution of securities to an individual or a group of…

Q: If you have the chance to invest in the stock market, what company will you invest in and why?…

A: Stock is the group of shares which is offered by the companies to arrange the money from the public.…

Q: common stock, and treasury stock explain

A: Common stock is the stock of the company which are different from preference shares. It represents…

Q: What is most likely to happen to the earnings per share and market price of a certain stock when a…

A: Stock Dividend: A firm issues stock dividends instead of paying cash to its share holders and…