Explore and discuss how dividend payments are accounted for


1. For Module 1- M and M Model please discuss and comment on the following questions:

With respect to capital structure, the firm's mix of debt and equity, explain Modigliani and Miller's theoretical model of the optimal capital structure, detailing why a firm's investing decision and financing decision are inseparable.

2. For Module 2- Dividend vs Non-Dividendplease discuss and comment on the following questions:

Dividend-paying firms are different than non-dividend-paying firms.

Explore and discuss how dividend payments are accounted for?

What signal(s) does the payment of dividends send to the investment community?

Does the payment of dividends add to the firm's share value?

Please research and comment.

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Finance Basics: Explore and discuss how dividend payments are accounted for
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