The foremost purpose of this paper is to concisely explain to individuals teaching economics in an academic setting or using economics in a practical setting some of the basics of long run financial theory focusing on the dividend policy decision of a corporation. The main motivation for this...

An approach to calculate the upper limit to any given portfolio with s assets (corporate stocks or government bonds) in it is provided, which does not require the relative weight of each asset in the portfolio. The value obtained is contrasted with the traditional weighting approach to calculate...