A dividend is the:
A)payment from a firm to a stockholder.
B)payment to a firm given by the buyer of a stock.
C)payment from the government to a bondholder.
D)expected level of future profits.

Question

Quizplus · Accepted Answer

A dividend is a distribution of a portion of a company's earnings or profits to its shareholders. It is a payment from the company to the shareholders, not from the government or the buyer of a stock. It is not the expected level of future profits, but rather a payment made based on current earnings.

A Dividend Is The