A Study on Dividend Policy and Its Impact on the Shareholders’ Wealth in Trading Organizations

Yesha. N, William Robert P

Abstract


The study titled ‘A Study On Dividend Policy And Its Impact On The Shareholders Wealth In Trading Organization’ focuses on dividend policy and its impact on the wealth of shareholders in the trading industry. For the purpose of this study, a trading company and three of its shareholders’ companies were selected and the dividend policies of these companies were analyzed. This was a descriptive study and the period of study was during the years 2015 to 2017. The tools used for analysis are Dividend per Share, Earnings per Share, Payout ratio and Gordon’s model. At the end of this study, it was found that the dividend policy is relevant in maximising the shareholders’ wealth. Also, many companies were not in a position to declare dividend due to retention for future purposes. It was also found that when the cost of capital decreases, the rate of return increases and this influences the market price per share.


Full Text:

PDF

Refbacks

  • There are currently no refbacks.


Copyright (c) 2017 Edupedia Publications Pvt Ltd

Creative Commons License
This work is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License.

Publisher

EduPedia Publications Pvt Ltd, D-351, Prem Nagar-2, Suleman Nagar, Kirari, Nagloi, New Delhi PIN-Code 110086, India Through Phone Call us now: +919958037887 or +919557022047

All published Articles are Open Access at https://edupediapublications.org/journals/


Paper submission: editor@edupediapublications.com or edupediapublications@gmail.com

Editor-in-Chief       editor@edupediapublications.com

Mobile:                  +919557022047 & +919958037887

Websites   https://edupediapublications.org/journals/.

Journals Maintained and Hosted by

EduPedia Publications (P) Ltd in Association with Other Institutional Partners

http://edupediapublications.org/

Pen2Print and IJR are registered trademark of the Edupedia Publications Pvt Ltd.