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 represents the actual cash returned to stockholders after accounting for any new equity issued.

Cash ﬂOw to Stockholders Is Equal to _____________