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The Net Income That Firm Earns Can Either Be Paid

Question 12

Multiple Choice

The net income that firm earns can either be paid out to shareholders as __________ or can be reinvested in the company as __________.


A) interest; additional paid-in capital
B) dividends; retained earnings
C) shares; capital shares.
D) capital gains; additional paid-in capital
E) interest; retained earnings

Correct Answer:

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