Question

The amount of company profits distributed to the shareholders at the end of a trading period is called?

a.

Shares

b.

Dividend

c.

Interest

d.

Commission

​

Answer 1

Dividend

Step-by-step explanation:

Dividend is the term used to describe the reward shareholder get funding a business. At the end of a financial period, a company has to prepare financial statements to determine its profitability. If the business was in profits, the shareholders, who are the business owners, are entitled to share in the profits. The portion of the profits that the shareholders get is the dividends.