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Afina-wow [57]
3 years ago
11

Which of the following statements are true regarding dividends?

Business
1 answer:
EleoNora [17]3 years ago
4 0

Answer: b. A stock dividend commonly indicates management's confidence that the company is doing well.

Explanation: That a company's management is doing well and would continue to do well is often indicated by the distribution of dividends. As a result, it is an indication of confidence in the management of a company. This makes option b the only true statement regarding dividends. Dividends also play roles in keeping the price of stocks affordable.

In contrast, retained earnings are the cumulative net income (and loss) not distributed as dividends to the shareholders of a company while the date of declaration is the date the company directors vote to declare and pay dividends to shareholders thus creating a legal liability to the company's shareholders.

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<h3>What is process costing?</h3>

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