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Dividends are currently taxed at the same rate as capital gains (for most investors). But,...

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Accounting

Dividends are currently taxed at the same rate as capital gains (for most investors). But, dividends are taxed immediately while taxes on capital gains are deferred until the stock is sold. These statements support the __________________________ school of thought regarding dividends.

a. dividends are bad

b. dividends are good

c. clientele effect

d. dividends dont matter

e. something is wrong with the statement and, thus, it doesnt support any of the above

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