Dividend Policy Essay Example | Topics and Well Written Essays - 500 words

Dividend Policy - Essay Example The news report also cited a clause in the lawsuit, which states that Greenlight is voting AGAINST Proposal 2 in Apples proxy, which would eliminate preferred stock from Apples charter. The Proposal 2 bundles several proposals regarding how preferred stocks are issued at Apple. Apple responded that the charge is not appropriate, with Greenlight grossly misrepresenting data, which formed the basis for its own proposal. Based from the report, the dividend payment appears to be a form of extra or special dividend, which is paid during a period of high earning (Chapter 18). The success of its products, notably the iPhone and the iPad, saw the meteoric rise of Apple’s stock price, peaking at about $700 in September of 2012 (Molina). As a result, the company has a lot of cash on hand. Indeed, according to Apple it is distributing $45 billion within the span of three years (Molina). However, unlike most dividends under this category, Apple opted to follow quarterly payments, which is the most common practice among companies (Chapter 18). The decision to pay shareholders with dividends was only introduced after Steve Jobs’ death, after Tim Cook assumed leadership. Apple has been notorious for its policy of holding out on its cash hoard (particularly during Jobs’ tenure), and refusing to pay dividends to its shareholders. This dividend policy is, of course, justified. Apple has been known to spend much of its cash on research and development. This can also be attributed to the fact that dividend reduces the value of the firm (Chapter 18). Also, dividends are considered to be irrelevant as a policy. The reason for this is that â€Å"investors will not pay higher prices for firms with higher dividends because they do not need it to convert shares to cash† (Chapter 18). It was only last year that Apple changed its position when the company decided to pay

Accounting project Essay Example | Topics and Well Written Essays - 3500 words

Accounting project - Essay Example considerably ‘greener’ alternative in the form of a hydrocarbon solvent, with a view that we can emulate the success that firms in the several states of United States and Europe have had by following a strategy from an ethical standpoint. Hydrocarbon alternatives have 90% fewer emissions into the environment, greater efficiency, and thus positive benefits for employees, and consumers alike. The company and its service has several uniqueness’s, these are as discussed below: The company will be started off in three different locations. The organisational structure and the decision making of the company will be centralised, i.e. all the decision making for major issues will be handled by the head office and chair person. The company will be set up in three different locations of which the head quarters will be in Abu Dhabi. The other two locations include Mumbai (India) and Cardiff (UK). All major decisions will be made by the chairman. The Abu Dhabi branch being the head quarters will include the main heads of operations, finance, HR, and marketing, will be responsible to handle the entire process across the three locations. The organisational structure of the company will be as illustrated below: a) Finance and HR Head: The finance and HR head will be located in Abu Dhabi and the accountants of the other two locations will be answerable here. All recruitments and weekly accounts need to be sent to the Head quarters and to be checked by the Finance head to ensure all the finances are in order. The finance head will also be responsible to manage the daily finances of the Abu Dhabi branch. b) Operations Head: The operations head will be located in Abu Dhabi and will be responsible to manage the customers as well as the operations staff including the drivers and the assistant. The operations head will also be responsible to mange the staff of the other two locations as well and will need to get daily reports for the activities from time the employees clocked