A Major Difference Between Dividends and Capital Gains Is That

question 15

Multiple Choice

A major difference between dividends and capital gains is that:

• A) Capital gains are always positive.
• B) Capital gains affect the total return while dividends do not.
• C) Capital gains are in increase in stock price while dividends are cash payments to stockholders.
• D) Dividends affect the total return while capital gains do not.
• E) Capital gains are only accounted for on an annual basis while dividends are accounted for when paid.

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Definitions:

Negative Reinforcing

A behavior modification process where the removal of an unpleasant stimulus strengthens a behavior.

Negative Reinforcer

A stimulus that, when removed after a behavior occurs, increases the likelihood of that behavior being repeated.

Reduction In Tension

A process or action that decreases stress or anxiety levels in individuals or groups.

Oral Needs

Psychological or physical requirements for satisfaction received through the mouth, such as eating, drinking, or the need for verbal expression.