« previous next »

Author Question: Assume that the tax on dividends and the tax on capital gains is the same. All else equal, what ... (Read 64 times)

ereecah

  • Hero Member
  • *****
  • Posts: 530
on: Jul 10, 2018
Assume that the tax on dividends and the tax on capital gains is the same. All else equal, what
  would a prudent investor prefer?
 
  A) The prudent investor would prefer dividendsNa dollar today is always worth more than a
  dollar to be received in the future.
  B) The prudent investor would prefer capital gainsNthe capital gain tax liability can be deferred
  until gains are realized.
  C) The prudent investor would be indifferent between receiving dividends or capital gains.
  D) More information is needed.

Question 2

Zero balance accounts permit centralized control over cash outflows while maintaining divisional
  disbursing authority.
 
  Indicate whether the statement is true or false
Foundations of Finance ¦ Keown, Petty, Martin ¦ 9th Edition
Buy Test-Bank


lgoldst9

  • Sr. Member
  • ****
  • Posts: 372
Reply #1 on: Jul 10, 2018
Answer to Question 1

B

Answer to Question 2

TRUE


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

Oliver Wendell Holmes is credited with introducing the words "anesthesia" and "anesthetic" into the English language in 1846.

Did you know?

Calcitonin is a naturally occurring hormone. In women who are at least 5 years beyond menopause, it slows bone loss and increases spinal bone density.

Did you know?

The word drug comes from the Dutch word droog (meaning "dry"). For centuries, most drugs came from dried plants, hence the name.

Did you know?

Blastomycosis is often misdiagnosed, resulting in tragic outcomes. It is caused by a fungus living in moist soil, in wooded areas of the United States and Canada. If inhaled, the fungus can cause mild breathing problems that may worsen and cause serious illness and even death.

Did you know?

In 2010, opiate painkllers, such as morphine, OxyContin®, and Vicodin®, were tied to almost 60% of drug overdose deaths.

Demonstration of equal segregation within one meiocyte in the yeast S. cerevisiae Demonstration of equal segregation within one meiocyte in the yeast S. cerevisiae
Natural Capital Natural Capital
Strength Gains: Based on Sets and Repetitions Strength Gains: Based on Sets and Repetitions
Torque is a twisting force equal to the distance from the pivot point times the force applied ... Torque is a twisting force equal to the distance from the pivot point times the force applied ...
GDP and Capital per Worker, 2009 GDP and Capital per Worker, 2009
Kepler’s Law of Equal Areas Kepler’s Law of Equal Areas
Video: Protein Structure - Primary, Secondary, Tertiary and Quaternary

For a complete list of videos, visit our video library