ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -A dividend is a share of profits and retained earnings that a company pays out to its shareholders and owners. When a company generates a profit and accumulates retained earnings, those earnings can be either reinvested in the business or paid out to shareholders as a dividend.

Detailed explanation-2: -A dividend is the distribution of a company’s earnings to its shareholders and is determined by the company’s board of directors. Dividends are often distributed quarterly and may be paid out as cash or in the form of reinvestment in additional stock.

Detailed explanation-3: -Dividends are earnings a company gives back to its shareholders, as determined by the board of directors. Dividends can be paid out in cash, by check or electronic transfer, or in stock, with the company distributing more shares to the investor.

Detailed explanation-4: -A cash dividend is a payment made by a company to its stockholders in the form of periodic distributions of cash (as opposed to in stock or any other form) Cash dividends are often paid on a regular basis, such as monthly or quarterly, but are sometimes one-time-only payouts, such as after a settlement.

Detailed explanation-5: -A dividend is a payment a company can make to shareholders if it has made a profit. You cannot count dividends as business costs when you work out your Corporation Tax. Your company must not pay out more in dividends than its available profits from current and previous financial years.