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Irrelevance of Dividend Theory

Irrelevance of Dividend

According to professors Soloman, Modigliani and Miller, dividend policy has no effect on the share price of the company. There is no relation between the dividend rate and value of the firm.

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Dividend decision is irrelevant of the value of the firm. Modigliani and Miller contributed a major approach to prove the irrelevance dividend concept.

Irrelevance of Dividend Theory Irrelevance of Dividend Theory Reviewed by Ikpokolo Francis on Sunday, June 18, 2017 Rating: 5

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