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Question 21 (10 marks) In a board meeting, The Board Chairperson of Fijian Holdings interrupts...

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Accounting

Question 21 (10 marks) In a board meeting, The Board Chairperson of Fijian Holdings interrupts the CEO and says But the shareholders want dividends in response to the CEO who is indicating that The COVID 19 crisis has dramatically affected our cash flow and therefore no dividends can be paid this year. In fact dividends will not make any difference. Reconcile the arguments of the Board Chairperson and the CEO with respect to Fijian Holdings share value. (10 marks).

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