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Of what significance are stock dividends as factors of production?
EncofBizandFinance
Although in business usage stock dividends are distributed profits, in economic analysis they figure as returns to capital, a kind of interest payment, since they are a return to finance rather than to entrepreneurship
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∙ 13y ago
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The money raised through the sale of stock and boneds is one of the factors of production?
true
A big advantage of preferred stock is that preferred stock dividends are tax deductible for the issuing corporation?
Not in the US, anyhow.
What constitutes a constant growth stock and how it is value?
What constitutes a constant growth stock is a stock that has dividends that are expected to grow at a constant rate. The formula used to value a constant growth stock is determined by the estimated dividends that will be paid divided by the difference between the required rate of return and growth rate.
Is production a stock and income a flow?
yes, production is a stock concept and income is a flow concept.
How do you produce capitalism?
If you privately own the means of production, you probably will 'produce capitalism.' The means of production: factories, machines, tools et. all. Classic factors: land, labor and capital stock (+ entrepreneurship).
What are the factors affecting owner's equity?
The issuance of stock. The accumulation of profits and/or losses (Retained Earnings). The payment of dividends. The re-purchase of your own stock (Treasury Stock).
Which dividends do not reduce stockholders' equity?
stock dividends
Are dividends paid on treasury stock?
cash dividends are not paid on treasury stock, but what about stock dividends? I would think stock dividends would apply to treasury shares, but would like to know for sure. Also, I assume stock splits apply to treasury shares and would like this verified.
Do stock dividends always pay monthly?
No, stock does not always pay dividends at all much less monthly.
Why are large stock dividends accounted at par value?
ALL _______ Dividends increase the supply of stock, which decreases the price Large stock dividends have a significant effect on the price of stock, so the current market value can NOT be used to value large stock dividends – and the only remaining choice is PAR or STATED VALUE Small stock dividends have only a minor effect on prices, so the current stock price is still used to value the stock dividend Reduction in the price due to an increase in numbers of shares is called “dilution
Is dividends payable in stock a liability?
No,
How can stock dividends be paid?
Stock dividends are usually paid by check. Rarely, they can be applied to purchasing more stock or property. They are usually paid either quarterly or annually.
How is common stock dividends distributable classified?
Common stock dividends distributable is an equity account and it has a normal credit balance. It is added to capital stock on the balance sheet.
Why do investors buy stocks that pay dividends?
Dividends provide income to the owners of the stock.
What is the difference between Dividends per share and Earnings per share?
For my opinion Earning par share refer to a full dividend after expenses. But if we have prefered stock we need to seperate prefered stock dividends and take its balance for common stock dividends by:Earning per share = Balance after prefered stock dividends / Number of shareOne more Dividends per share refer to balance for common stcok after we seperate balance after prefered stock dividends to both side, common stockdividends and retained earning.Dividends per share = Common stock dividends / Number of shareis that right? if another have any ideas please let me know.Thanks.!
What is the difference between dividends paid on common stock and preferred stock?
Dividends for preferred stockholders are often stated in advance and do not tend to fluctuate as much as those for common stock.
What are the dividend payment methods?
There are several dividend payment methods, including cash dividends, stock dividends, and property dividends. Cash dividends involve distributing a portion of a company's earnings in the form of cash payments to shareholders. Stock dividends involve issuing additional shares of stock to shareholders instead of cash, increasing their ownership in the company. Property dividends involve distributing assets or property to shareholders as dividends.
