Dividends are declared out of

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Dividends are typically paid out of a company's retained earnings, which are the profits that have been earned but not distributed to shareholders or used to buy back stock. Capital stock represents the total amount of common and preferred stock that a company is authorized to issue, and paid-in capital in excess of par value is the amount that investors paid for shares above their nominal or par value. Treasury stock represents shares of a company's own stock that have been repurchased and are being held in the company's treasury rather than owned by investors.

Dividends Are Declared Out of