All of the Following Are True Statements About Common Stock

question 41

Multiple Choice

All of the following are true statements about common stock dividends, except

• A) dividends are not generally paid by tech growth companies.
• B) no dividends may be paid.
• C) dividends are usually between 1% and 3% of the stock's price.
• D) dividends are contractually guaranteed to common stockholders.

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Definitions:

Laissez-faire Capitalism

An economic system in which transactions between private parties are free from government intervention, including regulations, privileges, tariffs, and subsidies.

Slavery

A system in which people are legally owned by others and forced to work for no pay.

Philosophical Statement

An expression or articulation of fundamental beliefs or guiding principles related to philosophy.

Continental Congress

A convention of delegates from the Thirteen Colonies that became the governing body of the United States during the American Revolution.