Before a company can pay dividends to the common shareholders,the owners of noncumulative preferred shares must receive:

Name: Before a company can pay dividends to the common shareholders,the owners of noncumulative preferred shares must receive:
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Question

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Noncumulative preferred shareholders are entitled to receive only the current year's dividend, not the dividends in arrears. If the company has not paid any dividends in the past, the noncumulative preferred shareholders will not receive any dividends.

Before a Company Can Pay Dividends to the Common Shareholders,the