5 - Cash Dividends Company must have both Enough Retained...

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Cash Dividends Company must have both: Enough Retained Earnings to declare the dividend Enough Cash to pay the dividend Board of Directors has authority to declare the dividend Date of Declaration Board of Directors announces dividend Corporation is now obligated to pay Date of record Stockholders who own shares on this date will receive dividend Date of payment Payment sent to shareholders on record Preferred shareholders receive dividends before common shareholders Dividend rate expressed as: Percent of par value Dollar amount per share Cumulative – any unpaid dividends are carried forward until paid
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5 - Cash Dividends Company must have both Enough Retained...

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