Answer :
Sure, I can help you solve these multiple-choice questions step-by-step.
### Question 15: Which of the following is a payout to stockholders of a portion of company profits, based on number of shares owned?
1. Interest: This is the cost of borrowing money, typically paid by borrowers to lenders and is not related to stock ownership.
2. Dividend: This is a payment made by a corporation to its shareholders, usually as a distribution of profits. Dividends are typically paid based on the number of shares owned by the stockholders.
3. Investment: This is the act of allocating resources, usually money, with the expectation of generating an income or profit. It is not the payout itself.
4. Capital gains: This is the profit from the sale of assets or investments. While it benefits investors, it is realized only when the asset is sold, and it is not a periodic payout.
Answer: The correct option is Dividend. This is because a dividend is specifically a payout to stockholders from company profits, distributed based on the number of shares they own.
### Question 16: Which of the following statements is TRUE about taxes?
Since the specific choices for the statements about taxes are not provided, I will give a general explanation of common true statements about taxes, and you can identify the correct one from your options:
1. Taxes are mandatory fees levied by the government on individuals and businesses: This is generally accepted as true. Governments impose taxes to fund various public expenditures.
2. Income taxes must be filed annually by individual taxpayers: In many countries, individuals are required to file an income tax return each year.
3. Tax rates can vary based on income level, type of income, and other factors: This reflects the progressive nature of tax systems in many countries where higher income earners are taxed at a higher rate.
4. Failure to pay taxes can result in penalties and interest charges: Typically, if an individual or business does not pay taxes owed, they may incur additional charges.
Without the exact choices, these are broad examples of true statements about taxes. You should select the choice that aligns with these accurate descriptions about taxes.
### Question 15: Which of the following is a payout to stockholders of a portion of company profits, based on number of shares owned?
1. Interest: This is the cost of borrowing money, typically paid by borrowers to lenders and is not related to stock ownership.
2. Dividend: This is a payment made by a corporation to its shareholders, usually as a distribution of profits. Dividends are typically paid based on the number of shares owned by the stockholders.
3. Investment: This is the act of allocating resources, usually money, with the expectation of generating an income or profit. It is not the payout itself.
4. Capital gains: This is the profit from the sale of assets or investments. While it benefits investors, it is realized only when the asset is sold, and it is not a periodic payout.
Answer: The correct option is Dividend. This is because a dividend is specifically a payout to stockholders from company profits, distributed based on the number of shares they own.
### Question 16: Which of the following statements is TRUE about taxes?
Since the specific choices for the statements about taxes are not provided, I will give a general explanation of common true statements about taxes, and you can identify the correct one from your options:
1. Taxes are mandatory fees levied by the government on individuals and businesses: This is generally accepted as true. Governments impose taxes to fund various public expenditures.
2. Income taxes must be filed annually by individual taxpayers: In many countries, individuals are required to file an income tax return each year.
3. Tax rates can vary based on income level, type of income, and other factors: This reflects the progressive nature of tax systems in many countries where higher income earners are taxed at a higher rate.
4. Failure to pay taxes can result in penalties and interest charges: Typically, if an individual or business does not pay taxes owed, they may incur additional charges.
Without the exact choices, these are broad examples of true statements about taxes. You should select the choice that aligns with these accurate descriptions about taxes.
