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Assuming All Else Equal,if a Firm Decides to Pay More

Question 42

Multiple Choice

Assuming all else equal,if a firm decides to pay more dividends and lowers the amount of retained earnings it holds,it will cause ________.


A) the current credit supply curve of the firm to shift to the left
B) the current credit supply curve of the firm to shift to the right
C) an upward movement along the current credit supply curve of the firm
D) a downward movement along the current credit supply curve of the firm

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