Dividend Payments That Are the Result of Liquidation of Assets

question 104

Multiple Choice

Dividend payments that are the result of liquidation of assets are known as ________ and are taxed as capital gains.

• A) return of capital
• B) rolling dividends
• C) alternate payments
• D) private earnings

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Definitions:

Competence

An individual's capability to effectively perform or execute a particular task.

Relatedness

The need to interact, be connected to, and experience caring for others, considered a fundamental psychological need.

Homeostasis

The tendency of a biological system to maintain stable internal conditions despite external changes.

Drive-reduction Approach

A theory in psychology that posits motivation arises from the need to reduce drives from physiological states of tension, such as hunger or thirst.