Which of the Following Statements About a Cash Dividend Is

question 67

Multiple Choice

Which of the following statements about a cash dividend is incorrect?

• A) The legality of a cash dividend depends on state corporation laws.
• B) The legality of a dividend does not indicate a company's ability to pay a dividend.
• C) Dividends are not a liability until declared.
• D) Shareholders usually vote to determine the amount of income to be distributed in the form of a dividend.

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Definitions:

Reliability

The degree to which an assessment tool produces stable and consistent results over time.

Self-report Measure

A type of psychological assessment where individuals provide subjective reports on their own thoughts, feelings, behaviors, and perceptions, commonly used in surveys and questionnaires.

Personality Psychology

The study of individual differences in characteristic patterns of thinking, feeling, and behaving.