Multiple choice

Which of the following statements is/are true about Current Money Method of dividend payment?

  1. Returns depend on when the investment was made.

  2. Different investment blocks get different dividends.

  3. It is also called segmented or investment block method.

  4. All of the above

Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

In Current Money Method, the returns depend on when the investment was made and the rate that was secured at the time of investment. It has also been called segmented or investment block method as different investment blocks get different returns. Hence, all the given statements about Current Money Method are correct.