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A Constant Payout Policy for Dividends Involves

Question 4

Multiple Choice

A constant payout policy for dividends involves:


A) a constant total amount of dividends paid each year.
B) a constant ratio of dividends to profit and a constant amount of dividends paid from year to year.
C) consideration given to profitable investment proposals.
D) a constant ratio of dividends to profit but not a constant amount of dividends paid from year to year.

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