Which of the Following Statements Describes the Finding from Academic

question 6

Multiple Choice

Which of the following statements describes the finding from academic studies on corporate dividend policy?

• A) Managers tend to increase regular cash dividends in response to unexpectedly high earnings.
• B) Managers tend to maintain a level dividend payment at an amount that they are relatively certain they can maintain in the future.
• C) Managers tend to focus on dividends rather than stock repurchases because institutional investors tend to prefer regular dividends.
• D) Dividend policy doesn't matter because investors can re-create dividends by selling a fraction of their shares.

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Definitions:

Temperature Change

Variation in temperature over time, which can affect climates, environments, and physical states of matter.

Heart Rate

The number of heartbeats per unit of time, typically expressed as beats per minute (bpm).

Respiratory Rate

The number of breaths a person takes per minute, a vital sign used to assess their respiratory function.

Expected Relationship

A relationship anticipated or deemed appropriate based on societal norms, roles, or specific contexts.