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“Conservation of Corporate Cash” is related with which of the following hypothesis of issue of Bonus…

The cash substitution hypothesis links bonus shares with conserving corporate cash. It treats a stock distribution as a means of rewarding shareholders without a…

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“Conservation of Corporate Cash” is related with which of the following hypothesis of issue of Bonus shares ?

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Correct answer D

The cash substitution hypothesis links bonus shares with conserving corporate cash. It treats a stock distribution as a means of rewarding shareholders without a corresponding cash distribution.

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  • Rajasthan SET (RSET)

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