Which One of the Following Statements Is True

question 35

Multiple Choice

Which one of the following statements is true?

• A)Board members are appointed by a company's management.
• B)Stockholders receive a tax break on dividend income.
• C)Investors should be concerned about the corporation's ability to earn profits and pay dividends in the future.
• D)If a cash dividend is declared by the board of directors,each stockholder will receive a different dollar amount per share.
• E)Corporate dividends are always paid in cash.

---

Definitions:

Machine Hours

A measure of the amount of time a machine is operated during a given period, used for allocating manufacturing costs to products or activities.

Bottleneck Process

A stage in a process that limits the total output because it has a lower capacity than other parts of the process.

Desired Profit

The target profit a company aims to achieve within a specific period, often used in pricing and business strategy.

Invested Assets

Assets that are purchased or acquired for the purpose of generating income or profit for the business.