Stocks are referred to or considered as such class of assets, over which the investors get dividend at regular intervals, until the time they are invested in such stocks. Therefore, the option D holds true.
What is the significance of dividend?
Dividend is such amount that is given to an investor of shares or units of ownership of a company, by whatever name called, for a given period of time. It is normally paid out of the profits earned by the company. The declaration of dividend over stocks investment is not mandatory.
It is worth to note that dividend is the return on investment after holding such stocks that a company pays to its investors as a gesture of the trust shown by the investors in the company.
Therefore, the option D holds true regarding the significance of dividend.
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