Total Shareholder Return (TSR) considers which two factors?

Total Shareholder Return (TSR) is an important metric used to evaluate the performance of a company's stock and the returns generated for its shareholders. By definition, TSR takes into account both the share price movement and any dividends paid to shareholders over a specific period.

The first key component, share price movement, reflects the increase or decrease in the value of the company's stock. A rise in share price indicates value appreciation, which benefits shareholders when they sell their shares. The second component, dividends, represents the portion of profits that a company distributes to its shareholders. This is a direct return on investment for those who hold the company's stock and contributes to the overall return that shareholders can expect.

Together, these factors provide a comprehensive view of the gains or losses that shareholders experience, making them critical for assessing the company's financial health and the effectiveness of its management in generating value for its investors. Thus, selecting the option that specifies share price movement and dividends accurately captures the essence of TSR.