Asked by Djay

If you are a shareholder in a profitable company, would you expect a dividend to be paid, or would you be satisfied if all earnings stayed within the organization as retained earnings? Please explain!

Answered by Ms. Sue
That depends upon my financial goals.

If I want relative safety and income, I want dividends. If I'm willing to take some risk and want the company and the share price to grow, I'll opt for no dividends.

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