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The Bird-In-The-Hand Argument Espousing the Importance of Dividends or Dividend

Question 21

True/False

The bird-in-the-hand argument espousing the importance of dividends or dividend relevance suggests that investors view a current (certain) dividend as less risky than future (uncertain) dividends or capital gains; this suggests that whether a firm pays a dividend or not can have a significant impact on share price.

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