UGB363 The company decided not to change its current dividend policy: strategic corporate finance Assignment, UM, Malaysia

School

University of Malaysia (UM)

*We aren't endorsed by this school

Assignment Type

Individual Assignment

Subject

UGB363 strategic corporate finance Assignment

Uploaded by Malaysia Assignment Help

Date

12/08/2023

UGB363 strategic corporate finance Assignment

The managing director has proposed that 60 percent of earnings in 2023 and subsequent years should be retained for investment in research and development. It is expected that, if this proposal is accepted, the dividend growth rate will be 9 percent. XYZ’s cost of capital is estimated to be 11.5 percent.

Calculate the share price of XYZ in the following circumstances.

  • The company decided not to change its current dividend policy. (9 marks)
  • The company decides to change its dividend policy as proposed by the managing director and announces the change to the market. (6 marks)
    (Alan’s guidelines: Please make reference to the calculation exercise in class)
  • Is dividend policy relevant to shareholder value? There are two camps among the academics on this question, and empirical findings have provided conflicting evidence on whether dividend policy matters or not. Critically analyze and evaluate the differing theoretical viewpoints, ensuring the response is supported by relevant academic research in this area. (35 marks)

Stuck in This Assignment? Deadlines Are Near?

Get Help By Expert

Malaysia Assignment Helper offers specialized assistance to University of Malaysia (UM) students facing challenges with their coursework, including the UGB363 Strategic Corporate Finance Assignment. Our experts provide tailored support for this course, aiding students in tackling complex tasks like Report Writing to help Malaysia, and strategic decision-making related to financial policies. For UGB363 specifically, whether analyzing a company's decision to maintain its current dividend policy or addressing other facets of strategic corporate finance, our services empower students to excel. Invest in your academic success by engaging our proficient team for personalized guidance and support.

Answer

UP TO 15 % DISCOUNT

Instant Paper Writing Services by Native Malaysia Writers

Plagiarism Free Solutions
100% Original Work
24*7 Online Assistance
Native PhD Experts
Hire a Writer Now
Convincing Features
Plagiarism Free Report
On-Time Delivery
Native Writers
A+ Quality
100% Confidential
24*7 Online Assistance

Get these features included in Your Assignment

Get Assistance for Assignments, online Exam, and Projects Writing