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Many stocks allow investor to reinvest their dividends.

Author:
June 8th, 2024

Many stocks allow investor to reinvest their dividends. As such, the company, bank or investment firm will purchase shares of stock, large or small with the dividend earnings. This allows a nice growth vehicle without having to dole out cash yourself. Depending on the stock price, this can be a lucrative option. Do you agree? If so, Why? or Why not? Please explain your response.The annual report provides a variety of information from a detailed description of the board of directors (if it is a publically held company) to a variety of financial statements. If you were an investor, which of the financial statements would you find most beneficial? How would they provide you with the information that you need to decide? Also, would the annual report help you determine the rate of return on a purchase of stock?

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