« previous next »

Author Question: A corporation has been paying out 1 million per year in dividends for the past several years. This ... (Read 118 times)

FButt

  • Hero Member
  • *****
  • Posts: 519
on: Jul 10, 2018
A corporation has been paying out 1 million per year in dividends for the past several years. This
  year, the company wants to pay the 1 million dividend, but can't.
 
  All of the following are reasons
  the company cannot continue its dividend payment policy EXCEPT
  A) the company's retained earnings balance at the end of the year is less than 1 million.
  B) the company's cash balance is less than 1 million.
  C) the company's net income this year is less than 1 million.
  D) the company's liabilities exceed its assets.

Question 2

A project's contribution-to-firm risk does allow for diversification within the firm.
 
  Indicate whether the statement is true or false
Foundations of Finance ¦ Keown, Petty, Martin ¦ 9th Edition
Buy Test-Bank


mjbamaung

  • Sr. Member
  • ****
  • Posts: 343
Reply #1 on: Jul 10, 2018
Answer to Question 1

C

Answer to Question 2

TRUE


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question

FButt

  • Hero Member
  • *****
  • Posts: 519
Reply #2 on: Jul 10, 2018
Thank you


mjbamaung

  • Sr. Member
  • ****
  • Posts: 343
Reply #3 on: Jul 10, 2018
No problemo


« previous next »
 

Did you know?

The modern decimal position system was the invention of the Hindus (around 800 AD), involving the placing of numerals to indicate their value (units, tens, hundreds, and so on).

Did you know?

A headache when you wake up in the morning is indicative of sinusitis. Other symptoms of sinusitis can include fever, weakness, tiredness, a cough that may be more severe at night, and a runny nose or nasal congestion.

Did you know?

Astigmatism is the most common vision problem. It may accompany nearsightedness or farsightedness. It is usually caused by an irregularly shaped cornea, but sometimes it is the result of an irregularly shaped lens. Either type can be corrected by eyeglasses, contact lenses, or refractive surgery.

Did you know?

Nitroglycerin is used to alleviate various heart-related conditions, and it is also the chief component of dynamite (but mixed in a solid clay base to stabilize it).

Did you know?

As the western states of America were settled, pioneers often had to drink rancid water from ponds and other sources. This often resulted in chronic diarrhea, causing many cases of dehydration and death that could have been avoided if clean water had been available.

The phosphorus cycle. Numbers are 1012 g P or fluxes as 1012 g P per year (data from Schlesinger 199 The phosphorus cycle. Numbers are 1012 g P or fluxes as 1012 g P per year (data from Schlesinger 199
A partial stream sampling exhaust probe being used to measure exhaust gases in parts per million ... A partial stream sampling exhaust probe being used to measure exhaust gases in parts per million ...
Past Vegetation Past Vegetation
Literacy Development in the Early Years: Helping Children Read and Write Literacy Development in the Early Years: Helping Children Read and Write
Carbon Dioxide Concentrations for 400,000 years Carbon Dioxide Concentrations for 400,000 years
Walking into new year kids drawing Walking into new year kids drawing
Video: Mechanisms of capillary exchange (transcytosis & bulk flow)

For a complete list of videos, visit our video library