In the Miller and Modigliani analysis, why are dividends irrelevant? post an article from a finance/economic journal that supports your answer .

In the Miller and Modigliani analysis, why are dividends irrelevant? post an article from a
finance/economic journal that supports your answer .
ANSWER
As per the Miller and Modigliani approach, dividends are not at all relevant in in computing
the valuation of a company. A prospective investor does not consider the past dividends
while investing in a Company. The crux of their theory is that investors are indifferent to
whether the Company pays dividend or retains the earnings for future use....