The stockholder's report includes ________.
A) an estimated interest cost report
B) an estimated dividend report
C) a break-even sales report
D) a statement of retained earnings

Question

Quizplus · Accepted Answer

The stockholder's report typically includes a statement of retained earnings, which shows how much of the company's profits were retained rather than paid out as dividends. This statement provides useful information to shareholders as it indicates the company's future growth potential and investment value. Option A is incorrect because the estimated interest cost report would not be relevant to stockholders; it would be more important for creditors or lenders. Option B is incorrect because the estimated dividend report is not necessary as the actual dividend payment will be noted in the report. Option C is incorrect because the break-even sales report is not typically included in the stockholder's report as it is more important for management to use as a tool in making strategic decisions.

The Stockholder's Report Includes ________