Question: Management may have a long-term dividend payout ratio because: Multiple Choice investors have a long-term investment horizon the present value of taxes paid on future

Management may have a long-term dividend payout ratio because: Multiple Choice investors have a long-term investment horizon the present value of taxes paid on future dividend income is less than the present value of taxes paid on current dividend Income. Investors have a short-term investment horizon. management views dividends as a function of sustainable profits. it assists management in long-term planning
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