How do shareholders earn a return on their investment? Select one: a. Through interest payments and the repayment of the initial capital investment b. Through dividend payments and the appreciation of a company's share price c. Through companies selling shares in the public capital market d. Through profits earned by a company that are distributed to investors
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This initial capital investment is not repaid to shareholders, so option a can be eliminated. Second, companies can sell shares in the public capital market, but this does not directly benefit existing shareholders. It may benefit the company by raising Show more…
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