Human Capital Refers to

question 91

Multiple Choice

Human capital refers to

• A)the skills and knowledge that enable a worker to be productive.
• B)machinery used by labor in production.
• C)the accumulated financial wealth of households.
• D)physical capital owned by households rather than businesses.

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Definitions:

Dividend Payout Ratio

A financial ratio that shows the proportion of earnings a company pays out to shareholders in the form of dividends.

Dividend Yield Ratio

The dividend yield ratio is a financial metric that measures the amount of dividends a company pays out to its shareholders relative to its share price.

Book Value Per Share

The equity available to common shareholders divided by the number of outstanding shares, indicating the value per share if the company were liquidated.

Net Profit Margin

A profitability ratio calculated as net income divided by revenue, indicating the percentage of each dollar of revenue that results in net profit.