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WAEC Financial Accounting 2019 Question 4

Question 4

Introduction to Accounting

The primary concern of shareholder in a business is the

  1. A.ascertainment of taxable profit.
  2. B.dividend payable.
  3. C.ability to pay interest.
  4. D.welfare of employees.
Show the answer and explanation

Answer: B (dividend payable.)

Explanation

Shareholders mainly want to know the return on their investment, i.e. dividends.