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Miller and Rock (1985) Developed an Ingenious Signaling Model in Which

Question 1

Multiple Choice

Miller and Rock (1985) developed an ingenious signaling model in which _____by a firm serve as powerful signals of the firm's earnings capacity, and thus its value.Any such ____ reveal that the firm has been generating, and is expected to continue to generate, high net cash inflows.


A) cash payouts
B) debt issuance
C) equity issuance
D) earnings announcements

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