Other things being equal, a low ________ would be most consistent with a relatively high growth rate of firm earnings and dividends.
A)dividend payout ratio
B)degree of financial leverage
C)variability of earnings
D)inflation rate

Question

Quizplus · Accepted Answer

Firms with high growth rates are retaining most of the earnings for growth; thus, the dividend payout ratio will be low.

Other Things Being Equal, a Low ________ Would Be Most