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Explain the relationship between a companys growth

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Reference no: EM13478850

Question 1: If common stockholders are the owners of the company, why do they have the last claim on assets and a residual claim on income? Were stockholders and bondholders treated differently during the recent auto industry bailouts?

Question 2: Explain the relationship between a company's growth possibilities and its dividend policy. How does the stockholder feel about this relationship and the relevance of dividends in general?

Reference no: EM13478850

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