Question #49
Reading: Reading 21 Free Cash Flow Valuation
PDF File: Reading 21 Free Cash Flow Valuation.pdf
Page: 22
Status: Incorrect
Correct Answer: A
Your Answer: B
Question
The ownership perspective implicit in the dividend valuation approach is of:
Answer Choices:
A. a preferred stockholder
B. control
C. a common stockholder
Explanation
Dividends are most relevant to the stockholders who receive them and who have little
control over their amount.