If the stockholders of a firm prefer current income to further income, then the:A) cost...

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Finance

If the stockholders of a firm prefer current income to further income, then the:
A) cost of equity decreases as management's restriction on ownership dilution increases
B) cost of equity decreases as the investment opportunities of the firm increases
C) cost of equity decreases as dividend payout increases
D) cost of equity increases as excess cash available to the firm increases
E) cost of equity increases as debt restrictions decrease

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