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Considering dividends, all of the following are true except: a. Modigliani & Miller say that dividends dont matter when regarding company valuation. b. Dividends are
Considering dividends, all of the following are true except:
a. Modigliani & Miller say that dividends dont matter when regarding company valuation.
b. Dividends are a zero NPV transaction.
c. Investors are indifferent to dividends because, if they dont pay dividends, they can always sell of part of their stock instead.
d. Dividends affect stock valuation because of liquidity destruction.
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