Which of the Following Is NOT a Way That a Firm

question 58

Multiple Choice

Which of the following is NOT a way that a firm can increase its dividend?

• A) by increasing its retention rate
• B) by decreasing its shares outstanding
• C) by increasing its earnings (net income)
• D) by increasing its dividend payout rate

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Definitions:

Currency Exchange Rates

The value of one currency for the purpose of conversion to another, which plays a critical role in international trade and finance.

Euro

The official currency of 19 out of the 27 European Union countries, which is also used by the EU institutions.

Member Countries

States that are officially part of an international organization or agreement and have agreed to its terms and conditions.

European Union

A political and economic union of 27 European countries that have agreed to abide by certain rules and standards to ensure peace and economic stability across the continent.