Some people have suggested that it is irrational for a firm to pay dividends and sell new

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Some people have suggested that it is irrational for a firm to pay dividends and sell new stock in the same year because the cost of newly issued equity is greater than the cost of retained earnings. Do you agree? Why or why not?

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Contemporary Financial Management

ISBN: 9780324289114

10th Edition

Authors: James R Mcguigan, R Charles Moyer, William J Kretlow

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Question Posted: Jul 17, 2012 04:03 AM

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Some people have suggested that it is irrational for a firm to pay dividends and sell new

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Investors who rely on dividend payments for their ...View the full answer

Contemporary Financial Management

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