Which Statements Are True?:
I $\quad$ Dividends Can Not Be Paid Out of Amounts Contributed by Paid

question 22

Multiple Choice

Which statements are true?:
I. $\quad$ Dividends can not be paid out of amounts contributed by owners as share capital.
II. $\quad$ Directors must ascertain that the company is solvent before they pay a dividend.
III. $\quad$ As a general rule dividends must only be paid from profits.For this purpose profits includes reserves.
IV. $\quad$ For purposes of paying dividends profits are not limited to the current period.

• A)I and II only
• B)II only
• C)I, II, and IV only
• D)I, II, III and IV

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Definitions:

Supply Chain Management

The active management of supply chain activities to maximize customer value and achieve a sustainable competitive advantage by efficiently and effectively coordinating supply and demand.

Sustainability Reports

Sustainability reports are documents that provide information about an organization's environmental, social, and governance (ESG) performance.

ISO14031

An international standard that provides guidance on how to conduct environmental performance evaluation to improve environmental management.

Environmental Performance

An assessment of how an organization's activities affect the environment and how well it manages those effects.