Distributions of a corporation's earnings to its shareholders are called ________.
A)dividends
B)paid-in capital
C)retained earnings
D)distribution expense

Question

Quizplus · Accepted Answer

Distributions of a corporation's earnings to its shareholders are called dividends. Paid-in capital refers to the amount of capital contributed by shareholders, retained earnings are the portion of a corporation's profits that are not distributed as dividends but are kept in the corporation as reserves, and distribution expense refers to the costs associated with distributing a product or service.

Distributions of a Corporation's Earnings to Its Shareholders Are Called