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Dividend Decision:
The Dividend Decision is a decision taken by the directors of a company. It relates to the timing of any cash payments and amount made to the company's stockholders. The decision is an important one for the business as it may influence its stock price and capital structure. In addition, the decision may calculate the amount of taxation that stockholders pay.
There are three main factors that can influence a firm's dividend decision:
what is the goal of financial manager
Preferably all customers will settle within the agreed terms of trade. If this doesn't happen a company needs to have in place agreed procedures for dealing with overdue accounts.
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