Which one of the following statements is correct? A) Modigliani and Miller argued that dividend decisions are more important than capital structure decisions. Dividend policy is usually set by...

Extracted text: Which one of the following statements is correct? A) Modigliani and Miller argued that dividend decisions are more important than capital structure decisions. Dividend policy is usually set by shareholders during the Annual General Meeting of a company. C) A share repurchase is an alternative to a dividend as a means for redistributing cash to the equity market. Shareholders typically view dividend increases as a signal of financial distress.