Why might a stock dividend or a stock split be of limited value to an investor?  What about a stock repurchase?  Does it make sense for a corporation to repurchase its own stock?

Q: Why might a stock dividend or a stock split be of limited value to an investor? Please explain your…

A: Stock dividend is dividend paying to investors in kind. It is adding value to the shares of the…

Q: Why would a corporation have multiple stock share classes?  What are your thoughts?

A: Multiple stock share class means division of shares into different classes  based on : i) Voting…

Q: Why might an investor-owned firm choose to issue different classes of common stock?

A: An investor owned firm issues different classes of common stock mainly due to the difference in…

Q: own stock that they have previously issued?’

A: company wants to repurchase some of its own stock that they have previously issued because of…

Q: What are some reasons corporations issue stock dividends?

A: Stock Dividends: It refers to the payment of dividends by a company to its existing shareholders, in…

Q: If stock dividends and stock splits don't give shareholders significant value/ amount, why do you…

A: Every publicly listed company has a defined amount of existing shares. A stock split is a measure…

Q: f. Why are multiple security holdings of potentially dilutive securities ranked? why is this useful?…

A: Earnings Per Share (EPS) Earning per share is considered to be one of the important crucial tool in…

Q: Discuss why stock dividend and stock split are not real dividend issues.

A: A dividend is a circulation of benefits by an organization to its investors. At the point when a…

Q: How is book value per share computed for a corporation with no preferred stock? What is the main…

A: Book value per share with no preferred stock is computed by dividing the stockholders equity…

Q: what is the primary purpose of a stock split?

A: The main purpose of a stock split is to increase the liquidity of the stock. hence the number of…

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: Explain how Stock Splits Effected in the Form of Stock Dividends.

A:

Q: hy would a company choose to not pay dividends on its common stock?

A: Dividends are the return earned by the shareholders in lieu of the amount invested in company's…

Q: Why do companies reacquire their own shares of stock?

A: Ans. For many reasons companies reacquire their own shares of stock. Some of them are discussed…

Q: d) Which characteristic of a corporation limits a stockholder's loss to the amount of his or her…

A: Company means a form of business where the share holder invest money in business in form of shares…

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: Which of the following is NOT a characteristic of common stock? O tock represents partial ownership…

A: Common stock forms part of the capital structure of the company. It provides funds for managing…

Q: How is the accounting for a purchase of a company’s own stock (treasury stock) different from the…

A: A company’s stock is the shares a company holds or the shares on which a company has its ownership…

Q: What are the relative benefits and drawbacks of selling bonds, common stock, and preferred stock…

A: The main objective of the company is to reduce the overall cost of issuing the capital. The Company…

Q: Why do companies often repurchase stock instead of paying cash dividends? What is the effect for the…

A: Dividends are the returns that will be paid to the investors who hold the stock of the company. This…

Q: Companies sometimes go through stock splits or repurchase of their own shares. What is the…

A: The company has maintained several policies for the purpose of creating an effect in the market. The…

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

A: Common stock: Common stock is the cash raised by the company by issuing common or ordinary shares to…

Q: Indicate whether the following statements are true or false. If the statementis false, explain…

A: Introduction: Capital gain is referred as any profit or gain that coming from the sale of a ‘capital…

Q: What is Treasury share? What are the reasons that the corporation for reacquisition of shares?

A: Treasury shares are the shares that are brought back by the issuing entity from the open market from…

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: stock markets protect a firms shares from liquidity? true or false

A: Stock markets are said to be amongst the foremost vital components of a free-market economy where…

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: why should a company invest in the stock of another company?

A: When a company invests in the stock of another company, it is known as Inter-corporate investments.

Q: Why would a firm repurchase its stock? Discuss.

A: Repurchasing shares: It is also called buyback of shares. The company purchases its previously owned…

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 stock dividends and stock splits don't give shareholders much value, why do you think companies…

A: Stock split involves increasing the number of shares outstanding of the corporate entity by issuing…

Q: How are share repurchases an alternative to dividends, and why might investors prefer them

A: The share repurchase is the alternative to dividends because when a company repurchases it’s issued…

Q: why is this statement false? Small and large stock dividends have no effect on the Common Stock…

A:

Q: What is a stock split? As an investor, would youlike to see shares you own be split?

A: A stock split is when a firm increases the number of outstanding shares. This does not affect the…