Business, 02.08.2021 23:00 Chartwig1908

Dividend reinvestment plans (DRIPs) allow shareholders to reinvest their dividends in the company by purchasing additional shares instead of receiving cash dividend payments. The majority of large companies offer dividend reinvestment plans to their stockholders. These plans allow stockholders to automatically reinvest dividends in the stock of the firm paying the dividend. Dividend reinvestment plans can be classified as either old stock or new stock plans.
Globex Corp. plans to use the proceeds from its dividend reinvestment plan to repurchase shares of stock that it had previously issued.
Which type of dividend reinvestment plan does this scenario describe?
a. An old stock dividend reinvestment plan.
b. A "new stock" dividend reinvestment plan.
levels of participation in a dividend reinvestment program suggest that stockholders would be better served if the firm reduced its cash dividends.
Companies decide to start, continue, or terminate their dividend reinvestment plans for their stockholders based on the firms' need for equity capital. A firm is likely to stop using new stock DRIPs if it equity capital.

Answers: 1

Show answers

Other questions on the subject: Business

Business, 22.06.2019 03:40, levicorey846

2. the language of price controls consider the market for rental cars. suppose that, in a competitive market without government regulations, the equilibrium price of rental cars is $58 per day, and employees at car rental companies earn $19.50 per hour. complete the following table by indicating whether each of the statements is an example of a price ceiling or a price floor and whether it results in a shortage or a surplus or has no effect on the price and quantity that prevail in the market. statement price control effect there are many teenagers who would like to work at car rental companies, but the minimum-wage law sets the hourly wage at $23.00. the government has instituted a legal minimum price of $87 per day for rental cars. the government prohibits car rental companies from renting out rental cars for more than $87 per day.

Answers: 2

continue

Business, 22.06.2019 06:30, nrudd9799

If a team of three workers, each making the u. s. federal minimum wage, produced these 12 rugs, what would the total labor cost be? don't forget that these workers would be working overtime.

Answers: 3

continue

Business, 22.06.2019 15:00, WowOK417

Which of the following characteristics are emphasized in the accounting for state and local government entities? i. revenues should be matched with expenditures to measure success or failure of the government entity. ii. there is an emphasis on expendability of resources to accomplish objectives. a. i only b. ii only c. i and ii d. neither i nor ii

Answers: 2

continue

Business, 22.06.2019 21:50, preguntassimples

Assume that (i) setups need to be completed first; (ii) a setup can only start once the batch has arrived at the resource, and (iii) all flow units of a batch need to be processed at a resource before any of the units of the batch can be moved to the next resource. process step 1 molding 2 painting 3 dressing setup time 15 min. 30 min. no setup processing time 0.25 min./unit 0.15 min./unit 0.30 min./unit which batch size would minimize inventory without decreasing the process capacity?

Answers: 1

continue

You know the right answer?

Dividend reinvestment plans (DRIPs) allow shareholders to reinvest their dividends in the company by...