Cash flow to stockholders is equal to _____________.
A) Net income.
B) Dividends paid.
C) Net new equity.
D) Dividends paid minus net new equity.
E) Dividends paid minus interest paid.

Question

Quizplus · Accepted Answer

Cash flow to stockholders is calculated as dividends paid minus net new equity raised. This reflects the net cash that flows from the company to its stockholders, taking into account both the cash distributed to them and any new equity capital the company has raised from them.

Cash Flow to Stockholders Is Equal to _____________