Question

Which one of the following tends to decrease the ability of a shareholder to create his or her own homemade dividend policy?

Answer 1

Answer:

E) High transaction fees

Explanation:

When the transaction fees are high so it reduce the shareholder capability for developing his or her own dividend policy as if less taxes are paid on capital gains, or there is large share holding or there is dividend reinvestment plans, or there is less cost of equity purchase so these all increased the shareholder ability

So, the option e is correct