The board of directors of Wilson Sporting Equipment met this afternoon and passed a resolution to pay a cash dividend of $0.42 a share next month.In relation to this dividend,today is referred to as which one of the following dates?
A)decision date
B)date-of-record
C)declaration date
D)payment date
E)ex-dividend date

Question

Quizplus · Accepted Answer

The declaration date is the date on which the board of directors formally announces that a dividend will be paid. In this scenario, the board of directors passed a resolution to pay a dividend, making today the declaration date. The other dates listed are as follows: decision date (not a financial term), date-of-record (the date by which a shareholder must own the stock to be eligible to receive the dividend), payment date (the date on which the dividend is actually paid), and ex-dividend date (the first day that the stock trades without the dividend; usually two business days before the date-of-record).

The Board of Directors of Wilson Sporting Equipment Met This