Discussion Post: Dividend Policy at Fuyao Glass
• Project Fuyao's cash flows for the next year under the conditions of dividend decrease, maintenance, and increase, using end-period cash balances or short-term borrowing as the "plug". How do assumptions about operating cash flows, capital structure, and IPO proceeds affect the dividend policy decision?
• How do regulatory concerns, signaling to future investors in the upcoming IPO, and shareholder preferences affect Fuyao's dividend decision?
The response should include a reference list. Using double-space, Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.