In the real world, we find that dividends a. Usually exhibit greater stability t
ID: 2624610 • Letter: I
Question
In the real world, we find that dividends
a.
Usually exhibit greater stability than earnings.
b.
Fluctuate more widely than earnings.
c.
Tend to be a lower percentage of earnings for mature firms.
d.
Are usually changed every year to reflect earnings changes.
e.
Are usually set as a fixed percentage of earnings.
a.
Usually exhibit greater stability than earnings.
b.
Fluctuate more widely than earnings.
c.
Tend to be a lower percentage of earnings for mature firms.
d.
Are usually changed every year to reflect earnings changes.
e.
Are usually set as a fixed percentage of earnings.
Explanation / Answer
a.
Usually exhibit greater stability than earnings.
a.
Usually exhibit greater stability than earnings.