Multiple Choice
Empirical testing has confirmed the validity of which of the following attitudes concerning dividends?
A) Dividend irrelevance,or Modigliani-Miller,theory.
B) Investors prefer dividends to capital gains because dividends are more certain.
C) Investors prefer capital gains to dividends because capital gains are taxed at more favorable rates.
D) Empirical testing has produced some evidence in support of each of the theories above.
E) Empirical testing has not produced any definitive results.
Correct Answer:
Verified
Correct Answer:
Verified
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