The factors affecting dividend decision are:

1. Earnings of the company

2. Cash flow position of the company

3. Growth opportunities

1 & 3

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1 , 2 & 3

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1 & 4

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2 & 3

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Solution

The correct option is B
1 , 2 & 3

The factors affecting dividend decisions are:

1. Earnings of the company

2. Cash flow position of the company

3. Growth opportunities

4. Social welfare of individuals

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Similar questions

What is meant by dividend policy decision ? Explain the following four factors which affect the dividend decision of a company.

(i) Legal constraints
(ii) Stability of earnings
(iii) Access to capital markets
(iv) Taxation policy

Higher dividend per share is associated with

(a) high earnings, high cash flows, unstable earnings and higher growth opportunities

(b) high earnings, high cash flows, stable earnings and high growth opportunities

(d) high earnings, low cash flows, stable earnings and lower growth opportunities

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