Chapter 17 Dividends, Dividend Policy, and Stock Splits
Learning Objectives
LO1 Understand the formal process for paying dividends and differentiate among the most common types.
LO2 Explain individual preferences and issues surrounding different dividend policies.
LO3 Explain how a company selects its dividend policy.
LO4 Understand stock splits and reverse splits and why companies use them.
LO5 Understand stock repurchases and dividend reinvestment programs.
Dividends—payments of cash or stock to company owners—are not as straightforward as they may seem. For instance, you might think that the more dividends, the merrier and that all ...
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