What Is the Meaning of "Contributed Capital

question 43

Multiple Choice

What is the meaning of "contributed capital"?

• A)This is the amount received from the debt holders of the company.
• B)This is the repayment of capital to owners of the company.
• C)This is the dividends received from the owners of the company.
• D)This is the amount received from the equity holders of the company.

---

Definitions:

Utmost Good Faith

A principle of insurance contracts that requires all parties to act honestly and not mislead or withhold critical information from one another.

Insurable Interest

An interest that would result in a loss on the occurrence of the event.

Insurance Policy

A contract between an insurer and policyholder specifying the claims the insurer is legally required to pay.

Co-insurance Clause

A provision in an insurance policy stating that the insurer and the insured will share losses covered by the policy in a specified ratio.