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Cash Conversion Cycle Finc 3331 Spring 2021 Team Project Due on April 26, 2021 Dividend Policy All calculations must be shown. EXCEL spreadsheets may be a good tool to use. Chevron is an international...

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Cash Conversion Cycle
Finc 3331
Spring 2021
Team Project

Due on April 26, 2021
Dividend Policy
All calculations must be shown. EXCEL spreadsheets may be a good tool to use.
Chevron is an international integrated energy and chemical company. Amazon.Com is an
Internet Retailer and a relative new company with steady growth.
In this assignment, you will calculate the possible distribution amount using the Residual
Distribution Model method (Chap 14). Show all components used.
Go to the SEC EDGAR web site (www.sec.gov/index.htm), locate FILINGS and;
 Go to Chevron Corp – XXXXXXXXXX
ï‚· Find most recent 10-K report (hint: Dec 31, 2020)
ï‚· From the consolidated financial statements, retrieve the necessary information to
calculate the distribution paid using the Residual Model.
ï‚· From this calculation, what is the dividend per share?
ï‚· What was the actual dividend paid (annualized)?
 Go to Amazon.Com, Inc. – XXXXXXXXXX
ï‚· Find most recent 10-K report (hint: Dec. 31, 2020)
ï‚· From the consolidated financial statements, retrieve the necessary information to
calculate the distribution paid using the Residual Model.
ï‚· From this calculation, what is the dividend per share?
ï‚· What was the actual dividend paid (annualized)?
Prepare an Excel spreadsheet showing your calculations on a separate tab for each company.
On another tab, write a one or two paragraph summation of your findings. Make sure all team
members names are listed and send the file to me at XXXXXXXXXX.
http:
www.sec.gov/index.htm
Answered 1 days After Apr 27, 2021

Solution

Sumit answered on Apr 28 2021
150 Votes
Chevron Corp.
    Computation of Dividend under Residual Dividend Model:
    Particulars    Amount (Amount in Billions, except per share amounts)
    Net Profit    $ -5.54    Actual
    Target Equity Ratio    124%    Based on Debt Equity Ratio of the company
    Total Capital Budget     $ 240.33    Total of Equity and Debt
    Share Outstanding    1.87    Actual
    Dividend Amount per share    $ -162.30    Calculated
    Actual...
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