What has happened to the average cash dividend payout ratio

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1. What has happened to the average cash dividend payout ratio of U.S. corporations over time? What explains this trend? How would your answer change if share repurchases were included in calculating U.S. dividend payout ratios?

2. What does it mean to say that corporate managers "smooth" cash dividend payments? Why do managers do this?

3. What are the key assumptions and predictions of the signaling model of dividends? Are these predictions supported by empirical research findings?

Reference no: EM131317492

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