What are the benefits and drawbacks of accumulating cash balances rather than paying dividends and what effects

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What are the benefits and drawbacks of accumulating cash balances rather than paying dividends and what effects does dividend policy have on this type of decision?

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Multinational Finance Evaluating Opportunities Costs and Risks of Operations

ISBN: 978-1118270127

5th edition

Authors: Kirt C. Butler

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Posted Date: Aug 02, 2018 01:42 AM

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What are the benefits and drawbacks of accumulating cash balances rather than paying dividends and what effects

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Drawbacks It drops your return on assets It rises your cost of capital It rises overall risk by dest... View the full answer

Multinational Finance Evaluating Opportunities Costs and Risks of Operations

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