Q254
The governmental bodies may have approved lists of securities in which certain institutions (like pension funds) should invest. The companies whose securities appear on these lists:
A.
Should think cautiously before reducing dividend, as they may be removed from the lists
B.
Do not have to worry as the overall wealth maximization is much more important
AnswerC.
Try to follow a strictly passive dividend policy
D.
Are legally authorized to substitute stock dividends for cash dividends
Answer: Option B
Solution
Answer: Option B
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