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1. A general rule of thumb would be that firms with a faster growth rate have smaller dividend payout ratios. (TRUE or FALSE) 2. A

1. A general rule of thumb would be that firms with a faster growth rate have smaller dividend payout ratios.

(TRUE or FALSE)

2. A firm paying a stock dividend will experience a drop in its earnings per share but its shareholders' total claim on earnings will increase.

(TRUE or FALSE)

3. Investors should try to invest in tax-exempt retirement accounts to try to avoid the higher taxes placed on some investments.

(TRUE or FALSE)

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