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TRUE/FALSE The corporate valuation model can be used even if the company uses debt. T/F If the information content or signaling hypothesis is correct, then

TRUE/FALSE

The corporate valuation model can be used even if the company uses debt. T/F

If the information content or signaling hypothesis is correct, then changes in dividend policy will not have an important effect on the firms value and capital costs. T/F

On Dec. 8th, a firm declares that it will pay $1 dividend per share to the holders of record on December 25. Suppose you decided (today) to buy one share of the stock on Dec. 23, you will not receive that dividend. T/F

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