Dividend payment policy is a form of ________.
A) capital budgeting policy
B) financing policy
C) working capital policy
D) dividend reinvestment policy

Question

Quizplus · Accepted Answer

Dividend payment policy is a part of financing policy, which deals with how a company raises and utilizes funds to support its operations and growth. The dividend payment policy determines how much of the company's profits are distributed to shareholders in the form of dividends and how much is retained for reinvestment in the business. It is an important factor in attracting and retaining investors as well as determining a company's financial health.

Dividend Payment Policy Is a Form of ________