Answer to Question #5644 in Finance for LaMarcus Streeter
A stockholder is interested in the ability of a firm to
pay consistent dividends.
appreciate in share price.
survive over a long period.
all of these.
All of this.
A stockholder is interested in the ability of the firm to pay consistent dividends as it was the reason to invest in the shares. A stockholder is also interested when the price of the shares rises on the market as he can sell them if he needs or interested to do so. A stockholder is interested in the ability of the firm to survive over the long period as for all this period he expects to be paid consistent dividends and the shares to rise in price. The shares bought for rather small price can considerably grow in price over the years. Thus we can admit that a stockholder is interested in all mentioned above.