Preference shares do not offer a corporate tax shield on the dividends paid. Why do we still

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Preference shares do not offer a corporate tax shield on the dividends paid. Why do we still observe some firms issuing preference shares?

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Corporate Finance

ISBN: 9780077173630

3rd Edition

Authors: David Hillier, Stephen A. Ross, Randolph W. Westerfield, Bradford D. Jordan, Jeffrey F. Jaffe

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Question Posted: Feb 22, 2024 03:00 AM

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Preference shares do not offer a corporate tax shield on the dividends paid. Why do we still

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While its true that preference shares generally do not offer a corporate tax shield on dividends paid there are several reasons why some firms still c...View the full answer

Corporate Finance

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