Research Has Shown All of the Following to Be True

question 53

Multiple Choice

Research has shown all of the following to be true of the way corporations determine dividends except:

• A)firms have short-run target payout ratios.
• B)firms have long-run target payout ratios.
• C)the focus is more on dividend changes rather than absolute dividends.
• D)managers try to avoid dividend changes that may need to be reversed.

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Definitions:

Federal Spending

The expenditure of government funds by federal authorities on various national programs, infrastructure, and services.

Social Programs

Initiatives designed by governments, non-profits, or other organizations to promote welfare and improve quality of life for individuals and communities.

Gerald R. Ford

The 38th President of the United States, who served from 1974 to 1977, known for his efforts to heal the nation after the Watergate scandal.

Gospel of Wealth

The Gospel of Wealth is an essay written by Andrew Carnegie that discusses the responsibility of philanthropy by the new upper class of self-made rich.