Purchase Solution

Dividends Analysis, Cash Flows, and Income Statements

Not what you're looking for?

Ask Custom Question

I just finished working with my team and we decided to invest in dividends in Q8. (We haven't done it before as per the prof.'s advice).
Using the 34% as payout takes $15,665,265 of our cash. Although we projected good figures for our net income and cash balance in Q8, I think it's too much money. Attached please find the financial statements for Q8 and help me to decide which rate to use.
Thank you.

Q8:
NI: $46,149,650
Total shares: 67,815
Payout: 34%
Dividends: $15,665,265
Dividend per share: 231.

Purchase this Solution

Solution Summary

This solution shows how to calculate dividends based on a given scenario.

Solution Preview

The dividend activity will flow onto the Statement of Cash Flows, so we'll want to keep a cash balance that satisfies investors and shows that the company will remain viable. A dividend ...

Purchase this Solution


Free BrainMass Quizzes
Six Sigma for Process Improvement

A high level understanding of Six Sigma and what it is all about. This just gives you a glimpse of Six Sigma which entails more in-depth knowledge of processes and techniques.

Lean your Process

This quiz will help you understand the basic concepts of Lean.

Cost Concepts: Analyzing Costs in Managerial Accounting

This quiz gives students the opportunity to assess their knowledge of cost concepts used in managerial accounting such as opportunity costs, marginal costs, relevant costs and the benefits and relationships that derive from them.

Motivation

This tests some key elements of major motivation theories.

MS Word 2010-Tricky Features

These questions are based on features of the previous word versions that were easy to figure out, but now seem more hidden to me.