If the Information Content,or Signaling,hypothesis Is Correct,then a Change in a Firm's

question 72

True/False

If the information content,or signaling,hypothesis is correct,then a change in a firm's dividend policy can have an important effect on its stock price and cost of equity.

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Definitions:

Legal Heirs

Individuals who are legally entitled to inherit a deceased person's property under the laws of intestacy if there is no will.

Invalid

Not acceptable according to law or void of legal significance; lacking in correctness or truth.

Witnesses

Individuals who observe or are present at an event and can provide testimony or evidence about what occurred.

Escheats

A legal process through which unclaimed or abandoned property reverts to the state.