Whether a dividend is paid by a company depends on the decisions made by the:
A) creditors of the company;
B) International Accounting Standards Board;
C) auditors of the company;
D) directors of the company.

Question

Quizplus · Accepted Answer

Dividend decisions are made by the board of directors of a company. The board assesses the financial health of the company and determines whether it can afford to pay dividends to shareholders. This decision is typically influenced by factors such as the company's profitability, cash flow, and future growth prospects. Therefore, the correct choice is D - directors of the company.

Whether a Dividend Is Paid by a Company Depends on the Decisions