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Dividend account is treated as either asset account liability account or expense account?
Wiki User
∙ 11y ago
Hi,
Dividends are paid out of retained earnings (part of Capital) therefore I think Dividends can not be treated as an expense (the prudence being increase in Capital can not be treated as Revenue thats Cash generation while dividends are Surplus appropriation).
regards,
Zeeshan
Wiki User
∙ 11y ago
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