1. What is the difference between dividends which are paid out of the corporation’s capital and dividends paid out of the corporation’s earnings?

2. What is the relevance of these dates: 

(a) Date of declaration, 

(b) Date of record, 

(c) Date of payment, in accounting for dividends?

Answer rating: 100% (QA)

Solution 1 Dividend paid out of capital means the dividend which is paid from the retained earnin... View the full answer