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Return may be thought of as:Select one:a. Obtained only if the company pays dividends; without dividends, return is 0b. The growth in the value of an investmentc. The risk associated with an investmentd. The process of returning the stock to the corporation that issued it

Question

Return may be thought of as:Select one:a. Obtained only if the company pays dividends; without dividends, return is 0b. The growth in the value of an investmentc. The risk associated with an investmentd. The process of returning the stock to the corporation that issued it

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Solution

The correct answer is b. The growth in the value of an investment. Return on an investment can be thought of as the increase in its value over time, which can come from a variety of sources such as dividends, capital gains, and interest. It is not solely dependent on dividends, nor is it the risk associated with an investment or the process of returning the stock to the corporation that issued it.

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