Quiz Ch 14 – T/F Reevaluating Dividend Policy Amid Full Earnings Dividend and Reinvestment
Fundamentals of Financial Management, Concise
Brigham and Houston
09th Edition
True or false: Should a company distribute all earnings as dividends, and shareholders choose to reinvest all dividends, it would be prudent for the company to review its dividend policy and contemplate a potential reduction in the dividend payout ratio.