Essentials of Corporate Finance
Essentials of Corporate Finance
8th Edition
ISBN: 9780078034756
Author: Stephen A. Ross, Randolph W. Westerfield, Bradford D. Jordan
Publisher: MCGRAW-HILL HIGHER EDUCATION
Question
Book Icon
Chapter 14.2, Problem 14.2ACQ
Summary Introduction

To discuss: Whether the dividends are relevant or not.

Introduction:

Dividends are the primary income tool of investors. The financial stability of the company can be easily determined by the declaration of dividends. Dividends help in evading taxes, reducing risks, and so on.

Blurred answer
Students have asked these similar questions
Why dividends are not deductible?And what could be the order of priority regarding income and assets in terms of preferred or common stock?
When does reverse stock split occurs?
What is stock split? How is it equivalent to paying a dividend?