Answer the following questions correctly. 1. What is the treatment of a delinquent subscription?

Q: Which of the following is not an argument for the relevance of dividends?   a. Existence of…

A: 1.not an argument for the relevance of dividends Protection against dilution

Q: Explain the effect of D/E on asset returns, equity returns (assuming that cost of debt is not…

A: Three main actors of production namely land, labor and capital are given primary importance. Capital…

Q: corporation,dividend,limited liability,over-the counter market,stock exchange and stock market index

A: In finance we often hear the words corporation, dividends, limited liability etc. These are all…

Q: The cost of equity is easier to estimate than the cost of either debt or preferred stock.  True…

A: WACC- Weighted average cost of capital (WACC) is the rate that a company is expected to pay on…

Q: fine dividend policy. Why do investors want dividends? Explain the different types of dividend

A: Define dividend policy  In simple words, A dividend policy can be understood as the framework by…

Q: Q.6 (a): What is treasury stock? Why is it deducted from stockholders equity?

A: Treasury stock (otherwise called depository shares) is the segment of offers that an organization…

Q: a. How does the return on total assets differ from the return on stockholders’ equity?b. Which ratio…

A: a. When return on total assets is considered, interest expense is added to the net income and…

Q: 3) Understanding if a stock is undervalued or overvalued will influence if the investor will invest…

A: Overvaluation of a stock occurs when its market price surpasses its intrinsic value, meaning it is…

Q: Describe the information effect resulting from decision of dividend cut or omission.

A: Positive Impact 1). When Company not paid dividend to its shareholders leads to retain more which…

Q: find out market capitalization  and preffered stock?

A: It is defined as the total market value of a publicly traded company whose stocks are traded based…

Q: PART A: Common stock has seniority relative to preferred stock. True False PART B: Issuance or…

A: Similar to bonds, preferred stocks are higher ranking than common stock. But, bonds have more…

Q: The cost of retained earnings is less than the cost of ordinary shares because of *

A: Issuance cost: This is incremental cost directly associated with issue of ordinary shares. This cost…

Q: Discribe the nature of preference dividend and equity dividend with your own suitable examples?

A: Preference dividend and equity dividends are paid to preference and equity shareholders as a return…

Q: Provide some examples of items that would be adjusted directly against equity, rather than being…

A: Stockholders’ equity: The claims of owners on a company’s resources, after the liabilities are paid…

Q: The most common methods for repurchasing shares is structural programs, such as accelerated share…

A: The statement is True.  Accelerated Share Repurchase (ASR) programs are indeed one of the most…

Q: A situation in which one focuses on individual decisions rather than looking at them in the context…

A: A situation in which focus is on the individual decision , rather than  focusing on the big picture…

Q: what are the examples of Items that can  be adjusted directly against equity rather than including…

A: Profit or loss account is a revenue account, whereas the equity account is a capital account. Equity…