Question Which of the following is NOT a reason for a high-dividend-payout policy? A.        convenient and direct deposit of cash dividend B.         avoidance of transaction costs for selling shares C. higher potential future returns for shareholders D. cash payments today versus uncertain cash payments tomorrow

Financial Reporting, Financial Statement Analysis and Valuation
8th Edition
ISBN:9781285190907
Author:James M. Wahlen, Stephen P. Baginski, Mark Bradshaw
Publisher:James M. Wahlen, Stephen P. Baginski, Mark Bradshaw
Chapter12: Valuation: Cash-flow Based Approaches
Section: Chapter Questions
Problem 3QE
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Which of the following is NOT a reason for a high-dividend-payout policy?

A.        convenient and direct deposit of cash dividend

B.         avoidance of transaction costs for selling shares

C. higher potential future returns for shareholders

D. cash payments today versus uncertain cash payments tomorrow

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