Which of these is a factor that can influence the amount a company is prepared to distribute as dividends to its shareholders?
A) investors' expectations
B) the availability of cash
C) the need to retain funds within the business for future growth
D) all of the above

Question

Quizplus · Accepted Answer

All of the factors listed - investors' expectations, availability of cash, and the need for future growth - can influence a company's decision on how much to distribute as dividends to shareholders. For example, if investors have high expectations for dividends, the company may feel pressure to distribute more even if it means retaining less cash for future growth. Conversely, if the company has a significant need for cash to fund future growth, it may choose to retain more cash and distribute less as dividends, even if investors are expecting more.

Which of These Is a Factor That Can Influence the Amount