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A firm has PVGO=0, and increases its dividend plowback ratio. All else equal you know that: a. Earnings growth will increase, but the stock's price
A firm has PVGO=0, and increases its dividend plowback ratio. All else equal you know that:
a. | Earnings growth will increase, but the stock's price is not likely to increase or decrease. | |
b. | Earnings growth will increase and the stock's price will increase. | |
c. | Earnings growth will decrease and the stock's price will decrease. | |
d. | Earnings growth will increase and the stock's price will decrease. | |
e. | Earnings growth will decrease and the stock's price will increase. |
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