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A STUDY ON DETERMINANTS OF DIVIDEND POLICY

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A STUDY ON DETERMINANTS OF DIVIDEND POLICY
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Sunanda K. Chavan
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A STUDY ON DETERMINANTS OF DIVIDEND POLICY - September 13th, 2010

DETERMINANTS OF DIVIDEND POLICY

Market conditions

Nature of business conducted by a company

Financial needs of the company

Legal: dividends must be paid out of firm’s earnings/ current earnings


Findings

The dividend per share in march 2007 is 5.50, while in march 2008 is 5.74

The dividend payout ratio (net profit) in march 2007 is 26.01, while in march 2008 is 26.29

The dividend payout ratio (cash profit) in march 2007 is 16.94, while in march 2008 is 16.63

The retained profit for the year 2007-2008 is 179.2 crores, While in the year 2006-2007 the retained profit earnings are 166.5 crores.



COMMENTS
The dividend per share in March 2006 was 5.00, while in march 2007 and 2008 was 5.50 and 5.75 respectively.

On the other hand, the reported earnings per share for march 2007 and 2008 are 24.11 and 25.58. We can hereby see that the earnings per share have increased from 24.11 to 25.58.

As the earnings per share have increased, the dividend payout ration in march 2007 and 2008 are 26.01 and 26.29 respectively. We can hereby notice 0.28% increase in the dividend payout ratio.

Aditya Birla Nuvo ltd retained profit for the year 2007-2008 is 179.2 crores. While in the year 2006-2007 the retained profit earnings are 166.5 crores. This shows an increase in the retained earnings which has affected the dividend payout ratio of this firm.
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Re: A STUDY ON DETERMINANTS OF DIVIDEND POLICY
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Re: A STUDY ON DETERMINANTS OF DIVIDEND POLICY - July 6th, 2015

Most Important Determinants of Dividend Policy Given below:

(i) Type of Industry

(ii) Age of Corporation

(iii) Extent of share distribution

(iv) Need for additional Capital

(v) Business Cycles

(vi) Changes in Government Policies

(vii) Trends of profits

(viii) Taxation policy

(ix) Future Requirements

(x) Cash Balance
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Rose Marry
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Re: A STUDY ON DETERMINANTS OF DIVIDEND POLICY - April 21st, 2016

Quote:
Originally Posted by sunandaC View Post
DETERMINANTS OF DIVIDEND POLICY

Market conditions

Nature of business conducted by a company

Financial needs of the company

Legal: dividends must be paid out of firms earnings/ current earnings


Findings

The dividend per share in march 2007 is 5.50, while in march 2008 is 5.74

The dividend payout ratio (net profit) in march 2007 is 26.01, while in march 2008 is 26.29

The dividend payout ratio (cash profit) in march 2007 is 16.94, while in march 2008 is 16.63

The retained profit for the year 2007-2008 is 179.2 crores, While in the year 2006-2007 the retained profit earnings are 166.5 crores.



COMMENTS
The dividend per share in March 2006 was 5.00, while in march 2007 and 2008 was 5.50 and 5.75 respectively.

On the other hand, the reported earnings per share for march 2007 and 2008 are 24.11 and 25.58. We can hereby see that the earnings per share have increased from 24.11 to 25.58.

As the earnings per share have increased, the dividend payout ration in march 2007 and 2008 are 26.01 and 26.29 respectively. We can hereby notice 0.28% increase in the dividend payout ratio.

Aditya Birla Nuvo ltd retained profit for the year 2007-2008 is 179.2 crores. While in the year 2006-2007 the retained profit earnings are 166.5 crores. This shows an increase in the retained earnings which has affected the dividend payout ratio of this firm.
Hey friend,

Please check attachment for Empirical Analysis of Determinants of Dividend Policy, so please download and check it.
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