What is the term used for the portion of profits distributed to shareholders in a joint stock company?

Multiple choice question for Basic of Economics. Select an option, then review the explanation below.

Explanation

In a joint stock company, the profits shared with shareholders are called dividends. Unlike shares or margins, dividends represent the actual payout of earnings to investors.

Practice related questions from the same subject.

1.Which of the following best describes deflation?
2.Under what condition can two nations benefit from engaging in international trade?
3.Which of the following represents a legitimate form of currency?
4.Which political ideology is best summarized by the phrase, "From each according to his ability, to each according to his needs"?
5.Which type of currency experiences a decline in its exchange rate due to a continuous balance of payments deficit?

What is the term used for the portion of profits distributed to shareholders in a joint stock company?

Explanation

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