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

---

Definitions:

Live Preview

A feature in many software applications that allows users to see a preview of changes (e.g., formatting) in real-time before applying them.

Documents Folder

The default location within a computer's file system where documents are saved, making them easy to find and organize.

App

Short for application, a software program designed to perform a specific function directly for the user or, in some cases, for another application program.

Icons

Small pictorial representations on a computer screen that symbolize programs, files, or functions.