All Other Things Being Equal, If a Company Increased Its

question 18

Multiple Choice

All other things being equal, if a company increased its dividend payments, what would happen to the following ratios? $$\begin{array} { l c c c } & \text { Sotal debt to equity } & \text { Times interest earned } & \text { Financial leverage ratio } \\\text { A) } & \text { Increase } & \text { Same } & \text { Same } \\\text { B) } & \text { Same } & \text { Same } & \text { Decrease } \\\text { C) }& \text { Increase } & \text { Decrease } & \text { Decrease } \\\text { D) } & \text { Same } & \text { Increase }\end{array}$$

• A)Option A
• B)Option B
• C)Option C
• D)Option D

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Definitions:

Occipital

Pertaining to the occipital bone or region, located at the back and lower part of the skull, crucial for visual processing.

Temporal

Relating to time or the temples of the skull.

Sphenoid

The sphenoid is a complex bone at the base of the skull, helping to form the orbits of the eyes and housing the pituitary gland.

Zygomatic

Pertaining to the cheekbone or zygoma, a prominent bone in the face that contributes to the facial structure and forms the prominence of the cheek.