1.

According to Lintner Model, factors affecting dividend of current year are

A. DPS of previous year, EPS, target pay-out ratio and adjustment rate.
B. EBIT, interest rate and retention ratio.
C. P/E ratio, retention ratio and pay-out ratio.
D. E/P ratio, pay-out ratio and rate of interest on it.
Answer» B. EBIT, interest rate and retention ratio.


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