Question Completion Status: QUESTION 17 Which of the following statements are true? 1. Dividends are not a liability for the firm until the Board of Directors has declared them. II. Dividends are not tax deductible for the firm, since they are not an expense like Interest payments. III. Increasing their dividend payout is a clever way for firms to reduce their tax liability I. Dividends on preferred stock must be paid before dividends can be paid to common stockholders. V. Dividends are one-way shareholders can receive cash from owning stock in a firm the alternative source of cash for shareholders requires selling the stock to realize its capital gains. 1 & il only I, II, & IV only. I, II, III, & IV only 1, H, I, & V only I, II, III, IV, & V QUESTION 18 Bre-X Minerals Ltd, stock just paid its annual dividend of $1.40. Following the discovery of a gold mine in Busang, Indonesia, John Felderhof, Bro-X's Vice-President for Exploration, in an interview with Fortune magazine announced that dividends are anticipated to continue growing at two percent per year. What is the expected value of this stock five years from now for an investor that requires a 16 percent return from this corporation? $11.04 $12.58 $11.26 $11.67 $12.41 QUESTION 19 Click Save and submit to save and submit. Click Save All Answer to save all ans, Save All Answers Clov