Select the Incorrect Statement Concerning Retained Profits as a Source

question 36

Multiple Choice

Select the incorrect statement concerning retained profits as a source of finance.

• A)Retaining profits has no effect on who controls the business.
• B)The business does not have to wait to receive the funds when using retained profits.
• C)There is more scrutiny when retained profits are used for investment than when shares are issued.
• D)There are no costs associated with retaining profits.

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Definitions:

Infants

Very young children, especially those under one year of age.

Caregivers

Individuals who assist others with activities of daily living and medical tasks, often due to disability, aging, or illness.

Stimulating Mobile

A device, often used in infant cribs, designed to entertain and visually stimulate babies through moving figures and objects, sometimes incorporating music.

Newborn

A very young baby, often defined as being within the first days or weeks of life outside the uterus.