Here is the synopsis of our sample research paper on Finance Questions; Dividends, Financial Assessment and Internal Controls. Have the paper e-mailed to you 24/7/365.
Essay / Research Paper Abstract
This 3 page paper answers thee questions. The first looks at whether or not shareholders would prefer to be paid dividends, the second questions considers the way the different financial performance of firms can be compared and the last part of the paper discusses potential controls. The bibliography cites 2 sources.
Page Count:
3 pages (~225 words per page)
File: TS14_TEcapques.rtf
Buy This Term Paper »
Unformatted sample text from the term paper:
that the profits of the company should be used. If a shareholder is investing and requires an income, they are likely to favor shares where there are regular dividend payments.
This will create some income that can be received on a regular basis. However, if an individual is investing with the aim of capital growth there will be potential benefits
for the company to retain earnings. Companies that retain earnings will have a high level of capital which can be reinvested in the business; therefore, the retained earnings should be
driving growth. It is not unusual to find that younger companies are less likely to make dividend payments as they are pursuing growth (Howells and Bain, 2003)
Where there are concerns over stock market a shareholder may also prefer to have dividends, especially as the management of companies may be utilizing strategies such
as dividends signaling. Dividends signaling can also play an important role in sustaining the value of shares. Management can use dividends as a way of rectifying some of the asymmetry
of information between the companys management and the shareholders. Retaining, weve been increasing, the leaven of dividends at the pet shareholders is a way for management to communicate the expectations
of future performance within the company. There is also a theory that where there are two earnings from a company; dividends and capital growth, there is less likely to be
volatility within the share price, the dividends provide a yield on the investment, and as such protect some of the value of the share when it is being assessed as
a potential investment. Question 2 When considering the financial condition of competing organizations there are a number of methods which can be utilized. Ratio analysis can be extremely important, using
...