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A Corporation's Earnings Are the Amount of Revenue It Receives

Question 55

Multiple Choice

A corporation's earnings are the amount of revenue it receives for the sale of its products


A) minus its cost of production as measured by its accountants.Earnings must be paid out as dividends.
B) minus its cost of production as measured by its accountants.Earnings may be paid out as dividends or retained by the corporation.
C) minus its direct and indirect costs as measured by its economists.Earnings must be paid out as dividends.
D) minus its direct and indirect cost as measure by its economists.Earnings may be paid out as dividends or retained by the corporation.

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