Final answer:
High dividend yields are not typical of rapidly growing companies; instead, they are characteristic of well-established companies with stable earnings. Rapidly growing companies usually reinvest profits to foster growth rather than distribute them as dividends. Option B) False
Step-by-step explanation:
High dividend yields are not typical of rapidly growing companies. Rapidly growing companies often reinvest their profits back into the business to fuel further growth, instead of paying out dividends. High dividend yields are more characteristic of well-established companies with stable earnings, which pay out a significant portion of their profits as dividends to shareholders. These established companies may not have as many growth opportunities, hence the larger dividends. In contrast, young, fast-growing companies might have higher stock price appreciation potential, but they typically offer lower or sometimes no dividends at all.