Find the Mistake in the Following Problem

question 207

Short Answer

Find the mistake in the following problem. Then give the correct answer.
5 + 7(3 - 1)= 12(3 - 1)= 12(2)= 24

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Definitions:

Cash Dividend

A payment made by a company out of its earnings to shareholders in the form of cash.

Market Price

The current rate for transactions involving a service or asset.

Stock Dividend

A stock dividend is a distribution of additional shares of a company's stock to its shareholders instead of cash dividends.

Paid-in Capital

The amount of money that a company has received from shareholders in exchange for shares of stock.