The Total Return of a Stock Is Equal to

question 6

Multiple Choice

The total return of a stock is equal to

• A) the dividend yield plus the capital gain.
• B) the capital gain plus the rate of return.
• C) the dividend yield plus the required rate of return.
• D) the dividend yield plus the capital gain rate.

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Definitions:

Partnership Agreement

A legally binding contract that outlines the terms of a partnership, such as division of profits and losses, responsibilities of partners, and procedures for resolving disputes.

Right of Contribution

A legal principle that allows a person who has discharged a debt or obligation which was owed by several parties jointly to claim a proportionate reimbursement from the other parties.

Partnership Losses

Financial deficits incurred by a partnership due to its business operations, shared among its partners according to their agreement.

Winding Up

The process of dissolving a company, including settling its debts and distributing any remaining assets to shareholders.