Asked by Landrie Pierce on Apr 24, 2024
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In general, investors prefer stocks with large dividends to those with small dividends.
Large Dividends
Significant payments made by a corporation to its shareholders, usually derived from the company's profits.
Small Dividends
Refers to dividend payments that are relatively small in amount, typically paid by companies with modest profits or those adopting conservative dividend policies.
Investors
Individuals or organizations that allocate capital with the expectation of receiving financial returns.
- Recognize factors influencing dividend policy preferences among investors.
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Learning Objectives
- Recognize factors influencing dividend policy preferences among investors.
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