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The free cash ow hypothesis states: that rms with greater free cash ow will pay more in dividends reducing the risk of nancial distress. that rms...
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3.

The free cash flow hypothesis states: A) that firms with greater free cash flow will pay more in dividends reducing the

risk of financial distress. B) that firms with greater free cash flow should issue new equity to force managers to minimize wasting resources and to work harder. C) that issuing debt requires interest and principal payments reducing the potential of management to waste resources. D) both a and c. E) both b and c.
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Subject: Business, Finance

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