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NEW QUESTION: 1
When a mature firm raises the dividend, signaling theory implies that its stock price ________. When a growth firm cuts the dividend, signaling theory implies that its stock price ________.
A. will rise; may rise or fall
B. will fall; may rise or fall
C. will fall; will rise
D. will rise; will fall
Answer: A
Explanation:
Explanation/Reference:
Explanation:
The signaling theory is properly applicable only to mature firms which have had stable dividend policies. In its pure form, the theory regards dividend changes as signals of management's forecasts of future earnings. Such an assumption is not fully justifiable for young, growth firms, which may cut dividends simply to supply retained earnings capital for expansion projects, without any signaling about the firm's future earnings prospects. Indeed, many growth firms pay no dividends at all for quite some time without an adverse effect on their stock prices.
Hence, the increase in the dividend of a mature firm is taken as a signal by investors - under the signaling hypothesis - that the management's forecasts of future earnings are quite favorable, leading to a rise in the stock price. On the other hand, for a growth firm, such a signaling conclusion does not necessarily hold.

NEW QUESTION: 2

A. Option E
B. Option A
C. Option D
D. Option B
E. Option C
Answer: A,B,E
Explanation:
Explanation
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NEW QUESTION: 3
A customer needs a mission critical SQL database. The customer has an HPE StoreServ and plans to use this as storage.
The solution must meet the following requirements:
- 240 logical cores (Hyper-Threading enabled)
- support for 6TB Memory
- 16GB FC
- 35TB RAID 1 storage
- the ability for hardware partitioning to build different physical partitions and scale as the need for CPU and memory resources grows Which solution should the architect recommend?
A. HPE Apollo 4200 with HPE ProLiant XL170r nodes
B. HPE Superdome X with BL920s blades
C. HPE ProLiant 980 Server
D. HPE SL6500 with SL230s nodes
Answer: B