You notice that a company has consistently paid a dividend of $.20 per quarter except for the quarter one year ago when it paid $.52 when it had an unusually high level of earnings that the company did not believe was going to be sustainable into the future.Such a pattern is most indicative of what kind of dividend policy?

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The company's consistent payment of $0.20 per quarter indicates a low-regular dividend policy, while the one-time payment of $0.52 during a year when the company had unusually high earnings suggests the use of an extra dividend policy. Therefore, the pattern is most indicative of a low-regular-and-extra dividend policy.

You Notice That a Company Has Consistently Paid a Dividend