A major desire of stockholders regarding dividend policy is
A) frequent stock dividends.
B) dividend stability.
C) high payouts when earnings are up, and lower payouts when earnings are down.
D) to give out no dividends, so that the company can use the cash towards future growth.

Question

Quizplus · Accepted Answer

Stockholders prefer dividend stability, which means consistency in the amount and timing of dividend payouts. This allows them to plan their income and investment strategies accordingly.

A Major Desire of Stockholders Regarding Dividend Policy Is