Question: Describe the three theories that have been advanced regarding whether investors in the aggregate tend to favor high or low dividend payout ratios. What results

Describe the three theories that have been advanced regarding whether investors in the aggregate tend to favor high or low dividend payout ratios. What results were reached from empirical tests of these theories?

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Here are the three theories which are illustrated in the BOC model They should be thought of as applying to investors in the aggregate and not to each individual investor because obviously different i... View full answer

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