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What Does Dividend Smoothing Refers To

Question 21

Multiple Choice

What does dividend smoothing refers to?


A) Adopting a consistent, rising dividend over time.
B) Declaring an EPS that does not change much in value from year to year.
C) Offsetting declines in income with higher dividend payouts.
D) Providing a DRIP (dividend reinvestment programs) to absorb unwanted cash payouts.
E) Ensuring that the dividend yield ratio is the same from year to year.

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