# What factor do firms consider before dividends are declared?

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### What is each factor in a term called?

Make note that a term doesn't have to be a number. It can be the expression, like (3x - 6). In order to consider a term of the factorization of the term to be the factor, it must be prime. Therefore, we call each factor in a term "prime factor". Here is the example: 2x + 6 has a factor of 2. Then, we can factor out 2x + 6 to get 2(x + 3)