outstanding
True.
cash dividends are not paid on treasury stock, but what about stock dividends? I would think stock dividends would apply to treasury shares, but would like to know for sure. Also, I assume stock splits apply to treasury shares and would like this verified.
From InvestorWords.com: A dividend paid as additional shares of stock rather than as cash. If dividends paid are in the form of cash, those dividends are taxable. When a company issues a stock dividend, rather than cash, there usually are not tax consequences until the shares are sold. These additional shares of stock are usually distributed to shareholders at no cost. Please see the following site for additional information: http://en.wikipedia.org/wiki/Dividend
dividends
1. Profit 2. Interest or dividends
True.
cash dividends are not paid on treasury stock, but what about stock dividends? I would think stock dividends would apply to treasury shares, but would like to know for sure. Also, I assume stock splits apply to treasury shares and would like this verified.
There are several dividend payment methods, including cash dividends, stock dividends, and property dividends. Cash dividends involve distributing a portion of a company's earnings in the form of cash payments to shareholders. Stock dividends involve issuing additional shares of stock to shareholders instead of cash, increasing their ownership in the company. Property dividends involve distributing assets or property to shareholders as dividends.
From InvestorWords.com: A dividend paid as additional shares of stock rather than as cash. If dividends paid are in the form of cash, those dividends are taxable. When a company issues a stock dividend, rather than cash, there usually are not tax consequences until the shares are sold. These additional shares of stock are usually distributed to shareholders at no cost. Please see the following site for additional information: http://en.wikipedia.org/wiki/Dividend
Dividends, cash or otherwise, are taxed as ordinary income.
Corpus of a mutual fund is defined as the sum of 1. Cash in hand + 2. Market value of its shares * no. of shares held + 3. Dividends if any
Dividend Re-Investment is available only for Mutual funds not stocks. The number of stocks outstanding for any company would remain the same until and unless the company declares bonus shares or announces a stock split. Otherwise the no. of shares remains the same. Stock holders cannot ask for dividend re-investment. They can only expect cash payments of dividends.
[Debit] Dividends [Credit] Cash / bank
DR Dividends $xx.xx CR Cash $xx.xx
the payment of cash dividends
A cash dividend is a distribution of money from a company's profits to its shareholders on a per-share basis. Shareholders receive the dividend in cash, which they can choose to reinvest or use as they wish. On the other hand, share repurchase is when a company buys back its own shares from the market, reducing the number of outstanding shares. This can increase the value of the remaining shares, as well as potentially benefit shareholders through capital gains if they choose to sell their shares back to the company.
There are several types of investments that pay cash dividends. Some of these include: High Yield Investments, Stock Dividends, as well as Dividend ETF's.