Asked in Investing and Financial Markets
Investing and Financial Markets
When do you usually pay dividends?
Asked in Business & Finance
A decrease in a firm's willingness to pay dividends is likely to result from an increase in its what?
A decrease in a firm's willingness to pay dividends is likely to result from an increase in its profitable investment opportunities. A dividend is a payment made by a corporation to its stockholders. It is a usually a distribution of profit. ...
Asked in Business & Finance
Can capital be distributed as dividends?
Yes. All companies who pay dividends usually do so out of Retained Capital. Even Real Estate companies (REITS, private partnershiplps, etc) with losses "on the books" because of depreciation or other allowed tax deferrals/credits can pay dividends, and most do. Sometimes you see venture Capital companies take control of a company and pay a special dividend out of "capital." ...
Asked in Stocks
What is the relevance of dividend cover if dividends are paid out of distributable profits?
Because dividend cover represents the amount of times by which dividends can be paid by profits. i.e. the company's ability to pay it's dividends. The higher the dividend cover the greater the ability of the company to pay dividends out of it's distributable profits. Dividends according to companies act legislation can only be paid out of distributable profits hence the relevance of dividend cover represents the companies ability to pay their dividends. ...
Asked in Investment Banking
Is it compulsory to pay dividends on common equity?
No it is not. Dividends are a means of sharing the profit of a company with the share holders of that company but it is not compulsory. Companies usually declare dividends when they have a good financial year and make solid profits. If the year went bad, the company may opt not to declare any dividend that year. ...
Do you pay dividends?
"You" depends on whom you are referring to You as in Investors / Individuals - the answer will be NO.. individuals don't pay dividends they receive dividends as a return on the money they invested in a company. You as a company that sales shares to the public - the answer will be YES. companies pay dividends to its investors when their business are making profits. to help you understand better: What is a dividend? - It is a money paid to the...
Why must stockholders pay taxes on dividends?
corporations must pay taxes on their incomes, profit is a form of income, and a dividend is a portion of corporate profits paid out to stockholders, and stockholders must pay personal income tax on those dividends. ...
Why do some companies pay dividends and others don't?
Young companies that are growing quickly typically don't pay dividends because they use their profits to grow their business. By contrast, older, more established companies often pay dividends because they are growing more slowly and don't "need" the cash and to reward shareholders by sharing the wealth, so to speak. Paying dividends is often considered a sign of confidence in the business as well and, especially if the dividends are reinvested, can reward shareholders by adding more shares and wealth. Dividends are...
Asked in Banking
Where can I find information about the dividends dates?
If your savings account offers dividends, you would be best served by making this inquiry with your bank directly. Most savings accounts pay interest, not dividends, which may be taxed differently. ...