Prior to beginning work on this discussion forum, read of the text. Dividend policy is a companys decision on the amount of capital to return to shareholders. The total dividends paid out of a corporation have a direct impact on the amount of equity in the companys capital structure, the companys weighted average cost of capital and, thus, a companys investment decisions.
For this discussion forum, select one publicly traded company that is currently paying a dividend. For tips on how to find a company that pays a dividend, review the handout.
In your post (with a minimum of 300 words):
- Identify the most recent dividend per share, as well as declaration date, the ex-dividend date, the record date, the payment date, and the frequency of dividends (e.g., quarterly, annual, etc.).
- Calculate the companys dividend payout ratio.
- Provide your calculations in a table in your post.
- Provide links to the source of the financial information you use in the calculation.
- Provide your calculations in a table in your post.
- Explain what dividend policy the company uses (e.g., passive residual, stable dollar, constant payout, etc.).
- Provide evidence for your explanation from the company.
- Determine whether the company paid dividends throughout 2020 or if the dividends were suspended at any time.
- Pose one question you have about dividend policy.

Leave a Reply
You must be logged in to post a comment.