Answer: Annually, at the conclusion of each year.

The **dividend discount model (DDM)** assumes that dividends are paid at the end of each year. This is because the model calculates the present value of expected future dividends, where each dividend (Dₜ) represents the expected payout at the end of year *t*. Options A and B are incorrect as they suggest more frequent distributions (quarterly or semi-annually), which do not align with the standard DDM assumption of annual payments.

Author: LeetQuiz Editorial Team