Some Investors Prefer Dividends to Retained Earnings (And the Capital

question 47

True/False

Some investors prefer dividends to retained earnings (and the capital gains retained earnings bring),while others prefer retained earnings to dividends.Other things held constant,it makes sense for a company to establish its dividend policy and stick to it,and then it will attract a clientele of investors who like that policy.

---

Definitions:

German Immigrants

Individuals from Germany who have moved to another country, historically significant in contributing to the demographic, cultural, and economic development of places like the United States.

Skilled

Having or showing the knowledge, ability, or training to perform a specific task or job with competence.

Leveling Playing Field

Creating equal opportunities for all participants in a competition or environment, ensuring no individual or group has an unfair advantage.

Worker and Management

The dynamic and relationship between employees (workers) and their supervisors or company executives (management), often involving negotiations over conditions of employment, wages, and workplace policies.