Which one of the following statements is correct?
A) Tax-exempt institutional stockholders prefer a high dividend policy.
B) Distant dividends are worth more than near dividends.
C) Firms paying low dividends are generally worth more than comparable firms paying high dividends.
D) Investor preference for current income is an argument for a low dividend policy.
E) One argument given in support of a low dividend policy is the existence of uncertainty.
Correct Answer:
Verified
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