Options And Corporate Finance Essay Example for Free

Options And Corporate Finance Essay In a perfect world, the stock price will drop by the amount of the â€Å"special one- time† dividend on the ex-dividend date. If we ignore taxes as we do in this mini- case the wealth of the shareholders doesn’t change if the company pays a special one-time dividend or not because it is reflected in the stock price. As we also saw in class that a dividend policy for a company is irrelevant since investors can convert share to cash or create their own homemade dividends payments if they prefer an income stream. In essence, paying the dividend is transferring money from the company to the shareholders but net the wealth of the shareholder stay the same due to a similar drop in the share price, but the value of the company will decrease. 2. The proposal of Jessica could go both ways, it could increase the value of the company or decrease the value, for the simple reason that we don’t have any information about leverage, the amount of debt, capital structure etc. If the company is overleveraged that will result in extra costs of financial distress, which consist of direct, indirect and agency costs. An overleveraged company goes past the optimal point and will decrease in value as you can see from the red line. If this is the case then it would be a good idea to reduce the amount of debt which results in a reduction of costs related to financial distress and invest the money in new facilities to increase the overall value of the company. If the company didn’t reach it equilibrium point than it would be a bad idea to reduce the amount of debt because it will decrease the value of the company due to the tax advantages (tax shield), so it would be better to keep the amount of debt to and maybe even increase the debt to reach the maximum company value. This are two options which can increase or decrease the value of the company. Another point could be that we don’t know about future prospect of the current technology and if there is enough demand, and if they now use their full production capacity. If not the case then it would be a bad idea to upgrade and expand, but it would be better to invest in research for new technology. 3. Nolan is correct in the sense that all three indicators will increase due to share repurchase. It will increase the P/E ratio because there are less shares available and it will reduce the denominator of both ROA and ROE which will result in an increase in both ratios. However, a share repurchase will not have any effect on the value of the company for the reasons we discussed in question 1, which is that the dividend policy is irrelevant to the value of the company and it won’t have any effect on the wealth of shareholders. 4. When a company starts with a dividend policy it gives a signal to the shareholders/investors that they are committed to distribute part of their income to their shareholders. If they would start with regular dividend payments they should be sure that they are able to continue that forever, because a reduction in dividend or if they stop paying dividend at all at a later stage will send a negative signal to the market and shareholders/investors. So, they need to make sure that they have enough cash to keep the dividend policy going. To come back to the question, I would evaluate it regarding the company’s ability to pay the dividend for an infinite time period and I they will have enough cash in the future or generate enough cash in the future to pay the dividends. 5. If the company wants to expand (and it is able to do so) the trade-off is lower dividends to their shareholders than when they are a mature company who has no growth potential than they would pay dividend. The implications of the formula are that the company should make a trade-off/decision between company growth or pay the dividend to its shareholders. To please its shareholders and to maximize the company’s value, the company should deliver the required rate of return which is wanted by the shareholders or deliver a higher return to make the shareholders happy. If the company can have a higher rate of return than wanted by the shareholders it should retain earnings to invest in the growth to increase the rate of return, when this is not possible it should pay the shareholders their dividend to give them their required rate of return. But if the company retain its earnings when the rate of return is lower than wanted by the shareholders it lowers the company’s value .

social layering of victorian society :: essays research papers

Social classes have been around since the dawn of civilization where you were classified by the survival skills that you possess and your ability to use them. Unfortunately also since the dawn of civilization there has been the conflict between the upper classes looking down upon the people below them. The Victorian era was no different lifestyles were most commonly meager and those who had a more luxurious lifestyle avoided contact with the other class.   Ã‚  Ã‚  Ã‚  Ã‚  The main difference between these classes is their dress. During the day men usually wear a lounge suit. This suit resembles what is now the three-piece suit. The lounge suit first became popular in the 1850s, it was very large and baggy but developed in the 1860s to the more tailored version. This suit was most common because of its economical price. Most often men wore this suit in plaid with just the top one of the four buttoned. Though other suits of the time had buttons covered with fabric, collectively silk, the lounge suit buttons were not. These lounge suit were daily wear for the wealthier groups and those with a job did not require manual labor, for the lower class this suit was most likely their best. Evening wear, however, consisted of a black tail coat black pants and white vest or black vest. The shirt and bow tie were also white and heavily starched. A gentleman would also were white gloves coming in contact with a lady's bare hands was considered c rude not to mention the fact that the seat from a man's hands could stain a woman's dress. Another thing that separated the classes is the behavior when in the ballroom and in the company of a woman.   Ã‚  Ã‚  Ã‚  Ã‚  When in the ballroom men and women where to be as well behaved as possible, as is today. Men had more controlling positions than ladies and were required to escort a lady anywhere in the ballroom. It was considered taboo to be seen wandering without an escort. Other rules include the ejection of loud talking and/or laughing and also a married couple should not dance together but if they do this is a display of a husband's abundance of care for his wife. A lady furthermore, cannot refuse to dance with one gentleman and then accept another gentleman in the same dance. Men would often help a lady over a bad crossing or down from a difficult coach without even know them and continue on like nothing had happened.

Risk Management Plan of Little Falls Hospital

As the new risk manager, I have been asked to prepare a Risk Management Plan that will help to develop a culture of safety throughout Little Falls Hospital. The purpose of the Risk Management Plan is to provide guidelines and methods to assure that the broad range of both administrative and clinical activities at the facility are monitored and coordinated in order to reduce losses associated with consumer, employee, or visitor injuries, property loss or damage and other sources of potential facility liability. At this facility, Risk Management is the responsibility of every employee.Due to the size and complexity of this facility and its programs, it is necessary for all employees to participate for effective management of risk. Providing an ongoing, comprehensive, and systematic approval to reducing the risk of exposure is the focus of the risk management plan. The activities included in risk management are identifying, investigating, analyzing, and evaluating risk, followed by sele cting and implementing the most appropriate methods for correcting, reducing, managing, transferring, and/or eliminating them.This plan requires the cooperation from all departments, services, and patient care professionals. Policies, procedures and protocols will be provided to address exposure to events such as professional, business-related, general and motor vehicle liabilities, and workers’ compensation which may be created. The primary responsibility of this risk management program is to identify, investigate, and manage injuries, accidents, and other potentially compensable events.This process will be directed by me, the risk manager, and the others I have assigned to participate in the various components of events that may occur with patients, staff, visitors, and organizational assets. To achieve quality care in a safe environment and to protect the organization’s resources, this risk management plan will influence, persuade and educate leaders within all depa rtments—Administration, Billing Services, Human Resources, Legal Services, Medical Equipment—just to name a few.With this risk management program in place, the organization will use the patient satisfaction surveys to respond to issues the patients may have and measure the satisfaction of the patients. We will also directly participate in resolving any complaints received. Little Falls Hospital’s Risk Management Program will emphasize the following: Improving patient satisfactionImproving the safety of patients through our participation in National Patient Safety Goals, organizational safety strategies, and other patient safety initiatives Assessing systems that can contribute to the care, error and injuries of patients Educate the stakeholders on risk exposures and risk reduction initiatives as they arise Promote the quality care of patients while working to improve quality/performance activities Comply with the state-specific scope of practice, applicable laws , regulations and standards Minimize the frequency and severity of inauspicious eventsImprove the environmental safety for the patients, visitors and staff by participating in care-related environmental activities Achieve requirements advertised by accredited organizations Address contrary events and injuries to diminish any future losses By implementing continuous improvement strategies, this Risk Management Program is being designed to reduce potentially unsafe conditions and system-related errors.In order for this program to be a success requires there to be top-level commitment and support from all parties. This program and plan is authorized by the governing board via a resolution that will be documented in the minutes from the board meeting. As changes and issues come up, the risk management plan will be reviewed, updated, and approved daily, or as needed.

Community Service The Joy of Giving - 795 Words

This country will not be a good place for any of us to live in unless we make it a good place for all of us to live in. - Theodore Roosevelt As Secretary of the Debate Club of my high school, I was assigned the job of picking a community service project for the Club to participate in. Our school was having a â€Å"service day† and different classes and clubs were picking various projects around the community to do on this day. Some groups were going to play with kids at Safe Place, while others were serving food at the Soup Kitchen, and still others were volunteering to pick up trash around neighborhoods. I saw all of these projects as needs that our community had, but I had the desire to help an individual, or even a family; someone†¦show more content†¦We pulled up to the address we had been assigned, and immediately saw that this house needed a lot of work. Not only was the paint chipped and even missing in most parts, but the grass had grown up to the rotted porch, and the fence had missing posts. We made our way up to the front door, and knocked loudly. After several knocks, an older lady made her way to the door. She struggled to open it because the hinges were rusted and the glass door had been shattered. When we told her why we were there, her face lit up with excitement, and she hugged us all with tears in her eyes. I could not believe that a simple coat of paint could make someone this happy. Her reaction provided great motivation for us to begin the task ahead. We began to scrape what was left of the original color of the house and put a fresh coat onto the newly surfaced wood. After applying the first coat of paint, we realized that the house would need a second coat. Our service day had fallen on a Friday and we knew that if we were going to wait for the paint to dry in order to apply another coat, we would have to come the next day. We were all more than willing to return that Saturday if that meant seeing the excitement on the lady’s face once again. We still had several hours of daylight left after we had finished painting the first coat of paint. We decided that in those hours, we would make the repairs to the rest of the house. We made a trip to Lowe’sShow MoreRelatedBringing Joy At The Poverty1488 Words   |  6 PagesBringing Joy to People in Poverty Giving back to those who are less fortunate is something that should be obliged as being an individual who is a part of the community. For some people, their necessities are evident. When we see someone without a proper backpack or needed school supplies, it could be that their family does not have the money to get them these things. When people go to a clothes closet, it’s because that they are in need of clothes and can’t afford it. When children who didn’t receivedRead MoreOklahoma Performing Arts, Inc. Essay1735 Words   |  7 Pagesempower and develop his or her character through classical arts training and community service programs and presentations. Please provide a brief overview of your organization (250 words). Oklahoma Performing Arts, Inc. (OPA) began its nonprofit roots in 1996. OPA has the unique setting of being a place for all. We provide a positive space for organizations to meet, to create and to share their mission with the Tulsa community. OPA also offers Dance, Voice, Acting, Music and Yoga training for all agesRead MoreThe Values Of A Person986 Words   |  4 PagesThe values of a person convey who his or she is and how he or she lives her life and interacts with others. 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So, dancing has always been an outlet for me, and I wanted to incorporate the youth of the community and hosted this event. I directed Choreographing for a Cause, a dance showcase that raised and still raises funds for the United Community Centers. From the smiles I saw duringRead MoreThe Mission Statement And Value Statements1395 Words   |  6 PagesCompare your chosen organization’s mission statement and value statements to services provided to the community. The mission of Saint Thomas Health is that each facility is committed to serving all persons with special attention to those who are poor and vulnerable. Saint Thomas is a Catholic health ministry and is dedicated to spiritually-centered holistic care which sustains and improves the health of individuals and communities (Mission Integration, n.d.). 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In her words â€Å"It is a biblical thing to do, it is our responsibility to the community, and we should be very upset†. It was a very sad day. We ended our last session in prayer, and to my surprise, Alice prayedRead MoreCommunity Service : Serve Our Greater Community809 Words   |  4 Pagesgreater community. When we serve others we begin to uncover many of the resources at our disposal - our time, presence and attention. Habitat for Humanity is a nonprofit organization that, through the use of volunteers, monetary donations, and donations of materials, provides simple, decent and affordable housing for low income families. You may be asking yourself ‘Why should we serve others?’ Well, there are several reasons. They include: Students who participate in community service learning