Vidyalelo
Commerce · Q752

Insurance

Graduate and Post Graduate · Commerce · question 752

Q752

The method in which Profits of the ins.co. could be shared in the form of dividends are

A.
Portfolio method
B.
Current money method
C.
Both A & B
Answer
D.
None of the three

Answer: Option C

Solution

Answer: Option C
Solution:
The method in which Profits of the ins.co. could be shared in the form of dividends are Portfolio method and Current money method. An income portfolio focuses on making money through dividends or other types of distributions to stakeholders. An income portfolio should generate positive cash flow. A cash dividend is funds or money paid to stockholders generally as part of the corporation's current earnings or accumulated profits.