The ________ has the largest market share and usually shows the way to other firms in price changes, new-product introductions, distribution coverage, and promotional intensity

Peril is

a. subjective probability. b. a physical condition that increases the chance of loss. c. a situation where either profit or loss is possible. d. the cause of loss.

Coppell Timber Company had total earnings last year of $5,000,000, but expects total earnings to drop to

$4,750,000 this year because of a slump in the housing industry. There are currently 1,000,000 shares of common stock outstanding. The company has $4,000,000 worth of investments to undertake this year. The company finances 40 percent of its investments with debt and 60 percent with equity capital. The company paid $3.00 per share in dividends last year. a. If the company follows a pure residual dividend policy, how large a dividend will each shareholder receive this year? b. If the company maintains a constant dividend payout ratio each year, how large a dividend will each shareholder receive this year? c. If the company follows a constant dollar dividend policy, how large a dividend will each shareholder receive this year?