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April 19, 2015

Homework Help: Finance

Posted by Jessy on Wednesday, December 1, 2010 at 6:20pm.

If you bought a share of common stock, you would probably expect to receive dividends plus an eventually capital gain. Would the distribution between the dividend yield and the capital gains yield be influenced by the firm's decision to pay more dividends rather than to retain and reinvest more of its earnings? Explain.

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