Dividends are declared out of
A) Common Shares.
B) Preferred Shares.
C) Retained Earnings.
D) Profit.

Name: Dividends are declared out of A) Common Shares. B) Preferred Shares. C) Retained Earnings. D) Profit.
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Question

Quizplus · Accepted Answer

Dividends are typically declared out of retained earnings, which represent the net earnings of a company that are not distributed to shareholders but are kept by the company for reinvestment in its operations or to pay debt.

Dividends Are Declared Out of