Question

dividend per share is not altered if the change in earning a small or seem to be temporary in nature the increase in dividend is generally made when there is confidence that their earning potential have gone up and not just earning of the current year the factor affecting dividend decision highlighted in the above para is
cash flow position
stability of dividend
stability of earning
amount of earnings​

Answer 1

Answer:

stability of earnings

Explanation:

the firm will not distribute whole profit but save this profit in various reserves and will distribute stable dividend