A Firm That Maintains a "Stable Dollar Dividend Per Share

question 118

Multiple Choice

A firm that maintains a "stable dollar dividend per share" will generally not increase the dividend unless

• A) a stock split occurs.
• B) the firm merges with another profitable firm.
• C) the firm is sure that a higher dividend level can be maintained.
• D) the P/E ratio has increased steadily over the past 5 years.

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Definitions:

Bandura's Study

Refers to research conducted by psychologist Albert Bandura, especially known for his work on social learning theory and the concept of self-efficacy.

Aggression

Behavior intended to harm or intimidate others, manifesting physically or verbally.

Contingencies

Events or conditions that may occur but are dependent on other occurrences or conditions.

Backward Conditioning

A form of learning where a conditioned stimulus is presented after the unconditioned stimulus, usually less effective or confused with no learning.