Describe the three theories that have been advanced regarding whether investors in the aggregate tend to favor
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Describe the three theories that have been advanced regarding whether investors in the aggregate tend to favor high or low dividend payout ratios. What results were reached from empirical tests of these theories?
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...
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Here are the three theories which are illustrated in the BOC model They should be thought of as applying to investors in the aggregate and not to each individual investor because obviously different i...View the full answer
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