A common stock dividend is the dividend paid to common stock owners from the profits of the company. Like other dividends, the payout is in the form of cash or other like stock. The law may regulate the size of the common stock dividend particularly when the payout is a cash distribution tantamount to a liquidation. Such cash dividends may serve the intent of defrauding creditors.
Read more about Common Stock Dividend: Cash Dividend, Stock Dividend
Famous quotes containing the words common and/or stock:
“some strange comfort every state attend,
And pride bestowed on all, a common friend;”
—Alexander Pope (1688–1744)
“I met a Californian who would
Talk California—a state so blessed
He said, in climate, none had ever died there
A natural death, and Vigilance Committees
Had had to organize to stock the graveyards
And vindicate the state’s humanity.”
—Robert Frost (1874–1963)