If the Dow Jones Industrials had a price appreciation of 6 percent one year and yet Total return for the year was 11 percent; the difference would be due to___________.
A. the tax treatment of capital gains
B. the cumulative wealth effect
C. dividends
D. profits
Answer: Option C
Solution (By Examveda Team)
If the Dow Jones Industrials had a price appreciation of 6 percent one year and yet Total return for the year was 11 percent; the difference would be due to dividends. A dividend is the distribution of reward from a portion of the company's earnings and is paid to a class of its shareholders.This Question Belongs to Commerce >> Financial Management
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