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Unformatted text preview: capital is being retained for the company to grow with. Investors can determine the success of the company and determine how the company is paying stockholders or the percentage they often retain for company growth. This provides the investor with information on whether the company is one that they would feel comfortable investing in or not. When determining whether or not to invest in company investors like to exam the statement of stockholder equity. While some investors may prefer to be paid out others may prefer capital to be retained in an attempt for company growth and potentially higher earnings....
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- Spring '11