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CTP · Question #517

(Topic 6) Which statement is typically true about cash dividends?

The correct answer is B. They are a distribution of profits. See the full explanation below for the reasoning.

Question

(Topic 6)

Which statement is typically true about cash dividends?

Options

AThey are an expense to the company.
BThey are a distribution of profits.
CThey are based on the value of the company's stock.
DThey are declared by the chief financial officer.

How the community answered

(19 responses)

A
16% (3)
B
68% (13)
C
5% (1)
D
11% (2)

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