Question

Dividends earned on the investments in shares represents a part of an income. To which of the following categories of income, does it belong to?

A Operating Income Correct Answer Incorrect Answer
B Financing Income Correct Answer Incorrect Answer
C Investing Income Correct Answer Incorrect Answer
D Any of the above Correct Answer Incorrect Answer
E None of the above Correct Answer Incorrect Answer

Solution

Investing Income is the income that has arise from investing in an Asset apart from the main operations of the business enterprise. Since investment in shares of other business enterprise has given dividends, therefore , it belongs to the investing income.

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