An argument for a high dividend payout

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Reference no: EM131012816

Which one of the following is cited as an argument for a high dividend payout?

A. Restrictive convenant contained in a bond indentured agreement

B. Desire to maintain constant dividends overtime

C floatation costs involved with a new securities issue

D. Agency costs related to excess cash reserves

 

E. High personal tax rates relative to corporate rates

Reference no: EM131012816

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