York University pays no taxes on its capital gains or on its dividend income and interest income.

Question:

York University pays no taxes on its capital gains or on its dividend income and interest income. Would it be irrational to find low-dividend, high-growth stocks in its portfolio? Would it be irrational to find preferred shares in its portfolio? Explain.

Stocks
Stocks or shares are generally equity instruments that provide the largest source of raising funds in any public or private listed company's. The instruments are issued on a stock exchange from where a large number of general public who are willing... Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...

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