Which of the Following Policies Would Appeal to an Investor

question 93

Multiple Choice

Which of the following policies would appeal to an investor using dividends to increase her retirement income?

• A)Maintaining smoothly increasing dividends from year to year
• B)A residual dividend policy
• C)Maintaining a constant dividend payout ratio
• D)A share repurchase plan

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Definitions:

Reliability of Results

The degree to which the outcome of a test, experiment, or measurement can be depended on to be consistent over repeated trials.

Freedom of Response

The degree to which respondents can provide answers to questions or tasks without being constrained by a predetermined set of options, allowing for more varied and potentially insightful responses.

Desensitized

The process of reducing or eliminating an emotional response to a stimulus through repeated exposure.

Non-verbals

Communication methods other than verbal language, including gestures, facial expressions, and body language.