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Directions : In the following questions, a statement of Assertion (A) is followed by a statement of Reason (R). Mark the correct choice as:
The equity shareholders are paid a dividend on the shares held by them.
Reason (R): As the equity shareholders are the owners and dividend form their earning.
  • a)
    Both Assertion (A) and Reason (R) are true, and Reason (R) is the correct explanation of Assertion (A).
  • b)
    Both Assertion (A) and Reason (R) are true, but Reason (R) is not the correct explanation of Assertion (A).
  • c)
    Assertion (A) is true, but Reason (R) is false .
  • d)
    Assertion (A) is false, but Reason (R) is true.
Correct answer is option 'A'. Can you explain this answer?
Verified Answer
Directions : In the following questions, a statement of Assertion (A)...
The equity shareholders are given a dividend as per the shares held by them from the profit earned by the company as they get the ownership of the company to the extent of shares held by them.
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Most Upvoted Answer
Directions : In the following questions, a statement of Assertion (A)...
Explanation:

Assertion (A) is true:
- Equity shareholders are paid a dividend on the shares held by them.
- This is true as dividends are a share of the profits distributed to shareholders.

Reason (R) is true and is the correct explanation of Assertion (A):
- Equity shareholders are the owners of the company and therefore entitled to a portion of the company's earnings.
- Dividends are a way for the company to share its profits with the owners, i.e., the equity shareholders.
- Hence, Reason (R) correctly explains why equity shareholders are paid a dividend on the shares held by them.
Therefore, the correct answer is option 'A' - Both Assertion (A) and Reason (R) are true, and Reason (R) is the correct explanation of Assertion (A).
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Directions : In the following questions, a statement of Assertion (A) is followed by a statement of Reason (R). Mark the correct choice as:The equity shareholders are paid a dividend on the shares held by them.Reason (R): As the equity shareholders are the owners and dividend form their earning.a)Both Assertion (A) and Reason (R) are true, and Reason (R) is the correct explanation of Assertion (A).b)Both Assertion (A) and Reason (R) are true, but Reason (R) is not the correct explanation of Assertion (A).c)Assertion (A) is true, but Reason (R) is false .d)Assertion (A) is false, but Reason (R) is true.Correct answer is option 'A'. Can you explain this answer?
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Directions : In the following questions, a statement of Assertion (A) is followed by a statement of Reason (R). Mark the correct choice as:The equity shareholders are paid a dividend on the shares held by them.Reason (R): As the equity shareholders are the owners and dividend form their earning.a)Both Assertion (A) and Reason (R) are true, and Reason (R) is the correct explanation of Assertion (A).b)Both Assertion (A) and Reason (R) are true, but Reason (R) is not the correct explanation of Assertion (A).c)Assertion (A) is true, but Reason (R) is false .d)Assertion (A) is false, but Reason (R) is true.Correct answer is option 'A'. Can you explain this answer? for Commerce 2024 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about Directions : In the following questions, a statement of Assertion (A) is followed by a statement of Reason (R). Mark the correct choice as:The equity shareholders are paid a dividend on the shares held by them.Reason (R): As the equity shareholders are the owners and dividend form their earning.a)Both Assertion (A) and Reason (R) are true, and Reason (R) is the correct explanation of Assertion (A).b)Both Assertion (A) and Reason (R) are true, but Reason (R) is not the correct explanation of Assertion (A).c)Assertion (A) is true, but Reason (R) is false .d)Assertion (A) is false, but Reason (R) is true.Correct answer is option 'A'. Can you explain this answer? covers all topics & solutions for Commerce 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Directions : In the following questions, a statement of Assertion (A) is followed by a statement of Reason (R). Mark the correct choice as:The equity shareholders are paid a dividend on the shares held by them.Reason (R): As the equity shareholders are the owners and dividend form their earning.a)Both Assertion (A) and Reason (R) are true, and Reason (R) is the correct explanation of Assertion (A).b)Both Assertion (A) and Reason (R) are true, but Reason (R) is not the correct explanation of Assertion (A).c)Assertion (A) is true, but Reason (R) is false .d)Assertion (A) is false, but Reason (R) is true.Correct answer is option 'A'. Can you explain this answer?.
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