According to financial executives' views about dividend policy, the following statement is the most frequently cited one:
I. we try to avoid reducing the dividend
II. we try to maintain a smooth dividend stream
III. we look at the current dividend level
IV. we are reluctant to make a change that may have to be reversed
A) I only
B) II only
C) III only
D) IV only

Question

Quizplus · Accepted Answer

Financial executives often prioritize avoiding dividend reductions as it can signal financial instability to investors.

According to Financial Executives' Views About Dividend Policy, the Following