Business, 28.12.2019 05:31, mikaelalcool49

Myron gordon and john lintner believe that the required return on equity increases as the dividend payout ratio is lowered. their argument is based on the assumption that

a. investors are indifferent between dividends and capital gains.
b. investors require that the dividend yield plus the capital gains yield equal a constant.
c. capital gains are taxed at a higher rate than dividends.
d. investors view dividends as being less risky than potential future capital gains.
e. investors prefer a dollar of expected capital gains to a dollar of expected dividends because of the lower tax rate on capital gains.

Answers: 1

Show answers

Other questions on the subject: Business

Business, 21.06.2019 14:30, terryhgivens4294

When marietta chooses to only purchase a combination of goods that lie within her budget line, she: is decreasing utility. is maximizing utility. likely has negative savings. must reduce the quantity?

Answers: 2

continue

Business, 22.06.2019 02:30, leomessifanboy678

Witch is an example of a non durable good?

Answers: 1

continue

Business, 22.06.2019 11:00, HUNIXX6561

Samantha is interested in setting up her own accounting firm and wants to specialize in the area of accounting that has experienced the most significant growth in recent years. which area of accounting should she choose as her specialty? samantha should choose as her specialty.

Answers: 1

continue

Business, 22.06.2019 21:40, brianmondesir1owahud

Rebel technology maintains its records using cash-basis accounting. during the year, the company received cash from customers, $43,000, and paid cash for salaries, $23,500. at the beginning of the year, customers owe rebel $1,000. by the end of the year, customers owe $6,600. at the beginning of the year, rebel owes salaries of $5,600. at the end of the year, rebel owes salaries of $3,300. determine cash-basis net income and accrual-basis net income for the year.

Answers: 2

continue

Do you know the correct answer?

Myron gordon and john lintner believe that the required return on equity increases as the dividend p...