In the case of a cash dividend,a dividend liability comes into existence on which of the following dates?

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The dividend liability comes into existence on the Date of Declaration. This is the date on which the company's board of directors formally announces the dividend and sets the amount to be paid. The declaration of the dividend creates a legal obligation for the company to pay the dividend to its shareholders. The other dates, such as the Date of Record and Date of Payment, are important for determining which shareholders are entitled to receive the dividend and when the dividend will be paid, but they do not create a liability for the company.

In the Case of a Cash Dividend,a Dividend Liability Comes