According to the Walter's model, a firm should have 100% dividend pay-out ratio when:

CS Executive · Financial and Strategic Management · PYQS · June 2021
According to the Walter's model, a firm should have 100% dividend pay-out ratio when:
(A) $r=ke$
(B) $r
(C) $r>ke$
(D) g > ke

Answer & Explanation:

Correct Answer: Option (B)

Official answer key: (B).

Topics: Dividend Policy

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