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Which of the following statements is FALSE? Total return equals earnings multiplied by the dividend payout rate Cutting the firm's dividend to increase investment will

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Which of the following statements is FALSE? Total return equals earnings multiplied by the dividend payout rate Cutting the firm's dividend to increase investment will raise the stock price it, and only if the new investments have a positive NPV We cannot use the constant dividend growth model to value the stock of a firm with rapid or changing growth As firms mature, their earnings exceed their investment needs and they begin to pay dividends

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