SIE Exam Question 701: Answer and Explanation

Question: 701

____ Normally a disguised dividend, such as a below-market shareholder loan.

• A. Constructive dividend
• B. Credit dividend
• C. Ordinary dividend
• D. Qualified dividend

Correct Answer: E

Explanation:

A disguised dividend, such as a below-market shareholder loan, is considered to be a constructive dividend.