All of the Following Statements Are Correct Except

question 57

Multiple Choice

All of the following statements are correct except

• A) Dividends are paid out of profits.
• B) Dividend payments must be approved by the stockholders.
• C) A dividend can be a distribution of money, stock, or other property.
• D) Dividends are not mandatory.
• E) Utility companies typically distribute a higher percentage of earnings than rapidly growing firms.

---

Definitions:

Admiralty Cases

refer to legal cases dealing with maritime law and disputes related to maritime activities, including shipping, navigation, and oceanic matters.

Federal Question

A legal issue involving the interpretation of the U.S. Constitution, federal laws, or treaties, which gives federal courts jurisdiction.

Amount in Controversy

The monetary threshold or total value of damages being sought or contested in a legal case, which can determine the jurisdiction or venue.

Concurrent Jurisdiction

A situation where two or more courts have the simultaneous authority to hear and decide on the same case or issue.