Common Stock Dividends Are Paid Out of Profits And

question 10

Multiple Choice

Common stock dividends are paid out of profits and:

• A)must be approved by the corporation's board of directors.
• B)are guaranteed to be paid quarterly.
• C)are paid prior to the firm's taxes.
• D)are usually paid semiannually.
• E)equal 100 percent of the firm's annual earnings.

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Definitions:

Canadian Standards Association

A not-for-profit standards organization in Canada that develops standards in multiple areas, including safety, health, and sustainability.

Reduced Scale

A scale that represents an object or drawing smaller than its actual size, used in blueprints and plans to fit large subjects on a manageable surface.

Enlarged Scale

A drawing scale that represents an object larger than its real-life counterpart to portray detailed features more clearly.

True Scale

A representation in drawings where the size of the drawing directly corresponds to the actual size of the object, without any enlargement or reduction.