Avoiding the need to sell new equity is a goal in a compromise dividend policy.

Name: Avoiding the need to sell new equity is a goal in a compromise dividend policy.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

A compromise dividend policy aims to balance the benefits of distributing profits to shareholders through dividends and the need to retain earnings for reinvestment in the company, thus avoiding the need to raise additional funds through selling new equity.

Avoiding the Need to Sell New Equity Is a Goal