Multiple choice

Match the options given in the above lists ||| |---|---| |LIST 1:|LIST 2:| |A. Conservative dividend policy|1. Dividend is paid at usual rate regularly.| |B. Irregular dividend policy|2. Dividend is paid at very low rate or zero.| |C. Regular dividend policy|3. Dividend is paid according to the earnings of company.| |D. Constant payout ratio|4. Fixed dividend is paid, irrespective of income.| |E. Constant DPS|5. Fixed percentage of net earnings is paid as dividend.| |F. Strict dividend policy| |

  1. A - 1, B - 2, C - 3, D - 4, E - 5, F - 6

  2. A - 6, B - 3, C - 1, D - 5, E - 4, F - 2

  3. A - 6, B - 5, C - 4, D - 3, E - 2, F - 1

  4. A - 2, B - 6, C - 4, D - 1, E - 3, F - 2

  5. A - 5, B - 6, C - 4, D - 2, E - 3, F - 1
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Regular dividends at the usual rate are paid by the companies following regular dividend policy.

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