The Modigliani and Miller Dividend Irrelevancy Theorem States That

question 126

Multiple Choice

The Modigliani and Miller dividend irrelevancy theorem states that

• A) dividends are preferable to stock repurchases.
• B) the timing of cash distributions is important.
• C) the timing of cash distributions is unimportant.
• D) stock repurchases are preferable to dividends.

---

Definitions:

Mental Illness

A broad category of conditions that affect a person's mood, thinking, and behavior, often leading to distress or impairment in daily functioning.

Voluntarily Hospitalized

The act of checking oneself into a healthcare facility for treatment by choice, without compulsion from others or legal mandates.

Health Care Provider

A professional or organization that offers services aimed at maintaining or improving health, diagnosing, and treating disease.

Right To Confidentiality

The ethical and legal duty of healthcare providers to protect patient information from unauthorized disclosure.