Which of the following statements is correct?

a. If a company has an established clientele of investors who prefer a high dividend payout, and if management wants to keep stockholders happy, it shouldnotfollow the strict residual dividend policy.

b. One advantage of dividend reinvestment plans is that they enable investors to avoid paying taxes on the dividends they receive.

c. Despite its drawbacks, following the residual dividend policy will tend to stabilize actual cash dividends, and this will make it easier for firms to attract a clientele that prefers high dividends, such as retirees.

d. If Congress eliminates taxes on capital gains but leaves the personal tax rate on dividends unchanged, this would motivate companies to increase their dividend payout ratios.

e. If a firm follows a strict residual dividend policy, then, holding all else constant, its dividend payout ratio will tend to rise whenever the firm's investment opportunities improve.