ECONOMICS
INFLATION
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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dividends.
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losses.
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par values.
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net asset values.
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Detailed explanation-1: -A dividend is the distribution of a company’s earnings to its shareholders and is determined by the company’s board of directors. Dividends are often distributed quarterly and may be paid out as cash or in the form of reinvestment in additional stock.
Detailed explanation-2: -A dividend is a distribution of profits by a corporation to its shareholders.
Detailed explanation-3: -Most companies prefer to pay a dividend to their shareholders in the form of cash. Usually, such an income is electronically wired or extended in the form of a cheque. Some companies may reward their shareholders in the form of physical assets, investment securities and real estates.
Detailed explanation-4: -Dividends can be issued in various forms, such as cash payment, stocks or any other form. A company’s dividend is decided by its board of directors and it requires the shareholders’ approval.
Detailed explanation-5: -General reserve can be used for distribution of dividend among shareholders when profit is insufficient.