Final answer:
A firm's dividend payment is a direct payment made to shareholders and is one form of return that investors can expect. In the case of Babble, Inc., all profits will be paid out as dividends to shareholders as they occur.
Step-by-step explanation:
A firm's dividend payment refers to the direct payment it makes to its shareholders. It is one form of return that investors can expect when they invest in a company's stock. In the case of Babble, Inc., which is selling 200 shares of stock, all profits of $15 million in the present, $20 million in one year, and $25 million in two years will be paid out as dividends to shareholders as they occur.