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    raiderizy's Avatar
    raiderizy Posts: 1, Reputation: 1
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    #1

    Mar 11, 2008, 03:17 PM
    Difference between dividends paid vs declared?
    Difference between dividends paid vs declared?
    MaggieMouse's Avatar
    MaggieMouse Posts: 226, Reputation: 8
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    #2

    Mar 12, 2008, 04:44 PM
    Need to make an entry affecting Shareholders' Equity when dividends are declared. When the dividend is paid, it only affects payable and cash, does not change Shareholders' Equity.
    shantharam's Avatar
    shantharam Posts: 2, Reputation: 1
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    #3

    Aug 10, 2012, 12:46 AM
    What is the difference between dividend proposed and paid
    shantharam's Avatar
    shantharam Posts: 2, Reputation: 1
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    #4

    Aug 10, 2012, 12:50 AM
    Provision made for proposed dividend in the Financial on year closing approx for 10%. Payment will be made after AGM approval. In between financial closing date and AGM any changes happen in the shareholding, whether dividend should be payable? What is the percentage? Shall we reduce the original percentage proposed.
    paraclete's Avatar
    paraclete Posts: 2,706, Reputation: 173
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    #5

    Aug 10, 2012, 06:45 AM
    Why are we digging up old posts
    abiolamoshood's Avatar
    abiolamoshood Posts: 3, Reputation: 1
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    #6

    Mar 11, 2013, 10:15 AM
    Someone answer the question and stop dancing around the forest :/
    pready's Avatar
    pready Posts: 3,197, Reputation: 207
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    #7

    Mar 11, 2013, 01:07 PM
    Dividend declared is the Declaration date of dividends. This means the Company is saying they will pay dividends to stockholders on a certain date. This is a liability to the company.

    Dividends paid is the date dividends are actually paid by the company.
    abiolamoshood's Avatar
    abiolamoshood Posts: 3, Reputation: 1
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    #8

    Mar 12, 2013, 09:04 AM
    Thumbs up clearified :)
    debitcreditAly's Avatar
    debitcreditAly Posts: 2, Reputation: 1
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    #9

    Mar 17, 2013, 04:21 AM
    Dividend declaration actually depends on the jurisdiction. In our country, the declaration of dividends does not need further approval of the board of directors. In the date of declaration, there should be an entry. Debit Retained Earnings Credit Stock/Property/Cash dividend payable depending on which type of dividend is declared. Such declaration is a liability to the declaring entity except for the Stock Dividends Payable, this account shall not be presented in the Liabilities section of the Statement of Financial Position since it is more of an equity account. We all know that for a "liability" to become a liability, it should be settled by cash, non-cash assets or services. Now a share does not qualify in any of those so it should not be classified as a liability. It shall be presented as an addition to the share capital if the shares were not yet issued and the financial statements were already prepared.

    Now, in the payment of the dividends, an entry is required. Dr Stock/property/cash dividend payable credit share capital/property/cash.
    abiolamoshood's Avatar
    abiolamoshood Posts: 3, Reputation: 1
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    #10

    Mar 20, 2013, 03:32 AM
    Thumbs up if you here because of cima challenge
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