COMM 308 Chapter Notes - Fall 2017 Chapter 22 - Stock split, Price–earnings ratio, Market price
21 Sep 2018
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Comm 308 - introduction to corporate finance - lecture notes. 21. 1 explain what a cash dividend payment is, how dividend payments are made, and why dividend payments are di erent from interest payments. 21. 2 describe typical dividend payouts and explain the importance of dividends. 21. 3 explain how modigliani and miller (m&m) provided that dividend payments are irrelevant, due to the existence of homemade dividends, and therefore have no impact on market value. 21. 4 explain why dividend payments generally re ect the business risk of the rm and explain what the bird in the hand argument is. 21. 5 explain why rms are reluctant to cut their dividends and why they smooth their dividends. 21. 6 explain why dividends are not. a residual, as implied by m&m. 21. 7 describe what a share repurchase program is an explain how it can substitute for dividend payments. May 13 - ex-dividend date (dividend no longer attached) May 15 - record date (aka holder of record date)
