Corporate FInance Assignment/ Professional Essay Writers
May 16th, 2020
1. Discuss fully Modigliani and Miller’s irrelevance theory of dividends (1961) and compare and contrast it with the following:
Don't use plagiarized sources. Get Your Assignment on
Corporate FInance Assignment/ Professional Essay Writers
Just from $13/Page
- clientele effects
- residual dividends
- signaling theory
Pear plc has reported the following over the last eight-year period;
Earnings |
Dividends |
|
Cents per share |
Cents per share |
|
2012 |
57.7 |
33.8 |
2013 |
65.4 |
35.5 |
2014 |
77.5 |
38.7 |
2015 |
86.5 |
42.0 |
2016 |
84.2 |
45.0 |
2017 |
70.1 |
48.0 |
2018 |
66.7 |
51.0 |
2019 |
70.3 |
52.0 |
Required:
1. Analyze whether the points discussed in part a) are consistent with the observation of a slow steady growth in dividends? Use the dividends of Pear plc to illustrate your analysis. Get Finance Help Today