Which type of dividend payment policy has the disadvantage that if the firm's earnings drop or if a loss occurs in a given period, dividends may be low or nonexistent?
A) Constant-payout-ratio policy.
B) Regular dividend policy.
C) Low-regular-and-extra dividend policy.
D) None of the above.
Correct Answer:
Verified
Q83: When a firm pays a stated dollar
Q86: The most commonly used dividend policies are
Q88: A firm has had the following earnings
Q89: A firm has had the following earnings
Q92: The problem with the regular dividend policy
Q93: A firm has had the indicated earnings
Q94: A firm has had the following earnings
Q95: If the firm's earnings remain constant and
Q96: After the stock dividend is paid, the
Q111: The shareholder receiving a stock dividend receives
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents