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Dividend Policy MCQs

Authored by nor (BG)

Education

10th Grade

Used 5+ times

Dividend Policy MCQs
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20 questions

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1.

MULTIPLE CHOICE QUESTION

1 min • 1 pt

What is the primary purpose of paying dividends?

To increase stock prices

To share profits with shareholders

To attract new customers

To reduce company expenses

2.

MULTIPLE CHOICE QUESTION

1 min • 1 pt

Which type of dividend involves providing additional shares to shareholders?

Cash dividend

Stock dividend

Property dividend

Liquidation dividend

3.

MULTIPLE CHOICE QUESTION

1 min • 1 pt

What does the dividend yield measure?

Profit margin percentage

Annual dividend as a percentage of market price

Total stock value growth

Earnings per share

4.

MULTIPLE CHOICE QUESTION

1 min • 1 pt

Who is responsible for approving dividend declarations in a company?

Shareholders

Board of Directors

Financial Analysts

Tax Authorities

5.

MULTIPLE CHOICE QUESTION

1 min • 1 pt

Which type of dividend is paid when a company is liquidating its assets?

Cash dividend

Scrip dividend

Liquidation dividend

Special dividend

6.

MULTIPLE CHOICE QUESTION

1 min • 1 pt

What is a stable dividend policy?

Dividends are paid from leftover profits.

Dividends are always reinvested into the company.

Dividends are paid regularly at a fixed amount or percentage.

Dividends vary with company profits.

7.

MULTIPLE CHOICE QUESTION

1 min • 1 pt

What does the constant payout ratio policy involve?

Paying dividends based on a fixed percentage of profits

Paying only cash dividends

Skipping dividends when profits are low

Distributing dividends equally among shareholders

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