T or F
1. Mature companies in utilities and telecommunications industries are normally expected to have an active dividend policy for shareholders.
2. Each source of capital for an organization will have a corresponding cost.
3. One reason for no cash dividends during the development stage of a new product or service, is so the company can use the retained earnings for research and development purposes in an effort to grow the company.
4. When converting from a bond to a stock security, the bondholder must consider not only the conversion ratio, but also the interest payments and dividend payments of the respective investments.