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- What are the advantages and disadvantages of higher dividends to investors?Why do the clientele effect and the information contenthypotheses imply that investors prefer stable dividends?Why holding too much capital may result in the lower the return to shareholders. Explain with some examples to make it easier to understand.
- How does the equity method discourage the manipulation of net income by investors?To what extent do you feel the company’s dividend policies support or hinder their strategies? For example, if the company is attempting to grow, are they retaining and reinvesting their earnings rather than distributing them to investors through dividends? Be sure to substantiate your claims.How does the equity method discourage the manipulation of net income by investors?
- What is overconfidence bias in investing? Give examples and how to overcome it. Thank you!Would you prefer to invest in a company that has a regular dividend policy or a company that has a low regular and extra dividend policy? Please explainTrue/False. The Dividend Discount Model can be applied to firms that do not pay dividends. Group of answer choices True False
- Since stock represents ownership in the company, equity investing is less risky than debt investing, and as such we can expect lower returns. t/f?What are some major advantages to cash dividends that simply aren’t available through share repurchases.?Give one example of overconfidence bias in investing and how to overcome it. Thank you!
