Which of the Following Statements About Dividends Is Not Correct

question 101

Multiple Choice

Which of the following statements about dividends is not correct?

• A)Cash dividends are generally declared quarterly as a dollar amount per share.
• B)Dividends can be declared on both preferred and common shares.
• C)The board of directors is obligated to declare dividends.
• D)Dividends can be in cash or stock.

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Definitions:

Non-Value-Added

Activities or processes that increase the cost of a product without enhancing its value to the customer.

Prevention Cost

The costs incurred to prevent defects in products or services, including costs related to quality planning, training, and process control.

Vendor Quality

Vendor quality encompasses the ability of a supplier to deliver goods or services that meet the buyer's requirements, including the standards for materials, processes, and final product.

Prevention Cost

Costs incurred to prevent defects in products or services, including training, quality control, and equipment maintenance.