Dividend
Distribution of profits to shareholders.
Formula
Dividend per Share = Total Dividends Paid ÷ Number of Shares
Real World
Unilever paid shareholders a dividend of €1.71 per share in 2023, rewarding investors while retaining sufficient profit to fund ongoing product development.
Exam Focus
Don't confuse dividend with retained profit; exam questions often ask you to weigh shareholder returns against reinvestment — always consider both sides.
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