Examlex
Which of the following sentences is written correctly?
Dividends Declared
The portion of a company's earnings that is approved by the board of directors to be distributed to shareholders.
Retained Earnings
The portion of net income that is not distributed to shareholders and is instead reinvested in the business.
Dividends In Arrears
Dividends on preferred stock that have not been paid in the scheduled time but are owed to preferred shareholders.
Cumulative Preferred Shares
Cumulative Preferred Shares are a type of preferred stock where dividends accumulate if not paid out, ensuring shareholders are paid past dividends before common shareholders.
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