Answer: B. Maintaining a steady dividend is a key goal of most dividend-paying companies.
Explanation:
Companies that pay dividends prefer in general, to maintain a steady dividend overtime. This does not necessarily mean that they will pay the same amount of dividend but rather that they will pay out dividends as within a certain percentage range of the net income.
Companies do not prefer to cut dividends so as not to send the wrong message so A is wrong. Share repurchases reduces agency costs so C is wrong. Short term fluctuations in cash flow are not the key favor in determining dividend policy as the company might still pay out the same regardless so this is wrong as well. Option B is the best answer.
I believe the Appraier is using: <span>Direct Sales Comparison Approach (mostly used with residential properties.
Direct sales comparison approach is an appraisal method that being done by comparing the sales that happen between similar properties/products to determine the value of that properties/productss</span>
Do you have a question about it?
I don't understand? I can't see picture
