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Cash Dividends, If Paid, Are Generally Paid

Question 225

Multiple Choice

Cash dividends, if paid, are generally paid:


A) On an annual basis provided there is sufficient net income to do so.
B) On a quarterly basis as declared by the board of directors.
C) Automatically unless the board of directors takes action to stop the payment.
D) On the ex-dividend date of each quarter.
E) From sources other than current or accumulated retained earnings.

Correct Answer:

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