Which of the Following Is Not One of the Most

question 5

Multiple Choice

Which of the following is not one of the most common dividend policies?

• A)Stable dividends
• B)Target payout ratio
• C)Discretionary dividend
• D)Small regular dividend with extras when earnings permit

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Definitions:

Purchases Journal

The purchases journal is a specialized accounting ledger that tracks all purchase transactions of a business, including inventory purchases on credit.

Supplies Account

An account in the general ledger that records the amount spent on supplies that are used in the operation of a business.

General Journal

A ledger where all financial transactions of a business are initially recorded using double-entry bookkeeping.

Purchases Journal

A financial journal used to record all purchases of goods and services on credit.