50.1K
Verified Solution
Link Copied!
Consider the following statements:
Statement 1: If the FCFE coverage ratio is less than 1, the companys liquidity position will improve.
Statement 2: Growth companies are likely to have a higher dividend payout ratio compared to stable, mature companies.
Which of the following is most likely?
| Only Statement 1 is correct. |
| Only Statement 2 is correct. |
| Both statements are incorrect. |
Answer & Explanation
Solved by verified expert