Dividends Must Be Paid Out of Current Year's Profits

question 21

True/False

Dividends must be paid out of current year's profits.If a loss is made in the current year a dividend can not be paid.

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Definitions:

Operational Definition

A clear, detailed description of how an experimental variable is measured or manipulated within research.

Hypothesis

A testable prediction about the conditions under which a particular behavior or mental process may occur.

Negative Correlation

An association between two variables characterized by the increase of one variable leading to the decrease of the other, and the opposite is also true.

Inverse Relationship

An inverse relationship is a correlation between two variables where one variable increases as the other decreases, and vice versa.