Which of the following statements is FALSE? : a. The practice of maintaining relatively constant dividends is called dividend smoothing.

b. Empirical evidence about the behaviour of financial managers suggests that firms smooth dividend payments but not repurchase activity.

C. The idea that dividend changes reflect managers' views about a firm's future earnings prospect is called the signalling hypothesis.

d. Firms can change dividends at any time, and in practice they vary the sizes of their dividends very frequently. Report question issue Notes

a. The practice of maintaining relatively constant dividends is called dividend smoothing. b. Empirical evidence about the behaviour of financial managers suggests that firms smooth dividend payments but not repurchase activity. c. The idea that dividend changes reflect managers' views about a firm's future earnings prospect is called the signalling hypothesis. d. Firms can change dividends at any time, and in practice they vary the sizes of their dividends very frequently