Question: Why might shareholders demonstrate a preference for dividends over the firm reinvesting its earnings? Select one: a. Dividend payments may resolve some uncertainty b. Dividend

Why might shareholders demonstrate a preference for dividends over the firm reinvesting its earnings?

Select one:

a.

Dividend payments may resolve some uncertainty

b.

Dividend payments provide information content

c.

Investors may prefer current cash to future cash

d.

Each of these answers is correct.

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