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Dividends are typically paid to shareholders of a company as a distribution of profits, not directly to directors. However, if directors are also shareholders, they would receive dividends in proportion to their shareholdings. The decision to pay dividends is usually made by the board of directors, but the payments themselves are made to shareholders, not specifically to directors in their capacity as board members.

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1w ago

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Related Questions

What is the requirement for dividends for common stock to be paid in cash?

The requirement for dividends to be paid in cash to common stockholders is typically determined by the company's board of directors.


Dividends are paid from?

Dividends are paid from corporate profits.


Dividends per share is equal to dividends paid....?

Dividends paid divided by the toal number of shares outstanding.


Are dividends declared by CEO's?

NO. They are declared by the board of Directors.


A corporation's dividends are declared by the corporation's?

A corporation's dividends are declared by the corporation's board of directors. The board evaluates the company's financial performance, cash flow, and future investment needs before deciding on the amount and timing of dividends. Once declared, dividends are typically paid to shareholders on a specified date. The decision to distribute dividends reflects the corporation's commitment to returning value to its shareholders.


How are dividends on common stock determined?

they are determined by the board of directors


How are the dividends on common stocks determined?

they are determined by the board of directors


How often are dividends paid?

Dividends are paid to shareholders by three types. They can either be paid annually, or biannually, or on quarterly basis.


What forms can dividends take?

A corporate board of directors has the authority to declare and pay dividends in the form of cash or stock.


To whom and how are dividends usually paid?

Dividends are usually paid to the investors of a company. These are paid on an annual or, more commonly, a quarterly basis.


A corporation gives out its profits as dividends paid to its?

Stockholders


Are dividends paid out of retained earnings?

Yes, the amount of x dividends paid will reduce retained earnings by x.